Huaneng on solid ground so far among peers as clean power gains

It recorded strongest capacity growth in 2015.

It has been noted that in China, clean power is gaining market share.

According to a research note from Barclays, YTD increase in power generation for hydro, wind and nuclear has been 18%, 25% and 31% y/y respectively.

Of the players, Barclays noted that Huaneng Renewables (OW) appears to be better positioned on both an absolute basis and
relative to peers, with the strongest capacity growth in 2015.

Here's more from Barclays:

Power generation in the quarter was up 24% y/y and the growth rate was the highest among its peers.

This was achieved on the back of 22% increase in installed capacity in 2014, while the growth rate in 2015 is going to be even stronger at 25% y/y, on our estimates.

The valuation discount of 20% to the sector average in that context is not pricing in growth potential, in our view.