The Zhitong Finance App learned that Haitong Securities released a research report saying that the photovoltaic sector has been continuously adjusted since the beginning of the year and has fully responded to the likely intensification of competition in the industry. The current valuation level is below the 18-year low; the price drop in the PV industry chain this year has helped increase the yield of photovoltaic power generation, which clearly stimulates terminal demand, and future industry growth will be sustainable for a long time.

▍ The main views of Haitong Securities are as follows:

Longji Green Energy added offers for N-type and rectangular silicon wafers.

According to the official website of Longji Green Energy, the company announced that the price price for the 150 micron thickness of the monocrystalline silicon wafer is 2.2 yuan/piece, the price of the monocrystalline silicon wafer N-type M10 130 micron thickness is 2.35 yuan/piece, and the price for the monocrystalline silicon wafer N-type M11 130 micron thickness is 2.55 yuan/piece. According to PV-Tech's official account analysis, the new N-type silicon wafers and rectangular silicon wafers have been added. The new N-type silicon wafers are all 130 microns thick. It can be seen that the pace of conversion from P-type to N-type is accelerating, and rectangular silicon wafers are being used to achieve higher efficiency.

Prices in some parts of the industrial chain have declined slightly, and silicon prices have stabilized.

According to the latest quotation on the Infolink Consulting website on December 27, the average price of polycrystalline silicon dense materials was 65 yuan/kg, which was flat month-on-month; at the silicon wafer end, the average price of P-type 182/210 silicon wafers was 2.00 and 3.00 yuan/piece, respectively; the average price of N-type 182/210 silicon wafers was 2.2 and 3.25 yuan/piece, respectively, down 0.05 yuan/piece from month to month; on the battery side, the average price of PERC batteries was 0.36 and 0.37 yuan/W, respectively, down 0.02 and 0.03 yuan/W from month to month. ; The average price of TOPCON batteries was 0.47 yuan/W, unchanged from month to month;

On the component side, the average price of the four models of single glass 182/210 and double glass 182/210 was 0.95, 0.98, 0.97, and 1.00 yuan/W, respectively, down 0.01, 0.02 yuan/W from month to month; the average price of centralized and distributed components in China was 0.95 and 0.93 yuan/W, respectively, down 0.03 and 0.02 yuan/W, respectively. The average price of components produced in India was 0.22 US dollars/W, down 0.01 dollars/W from month to month, the average price of TOPCON modules was 1.02 yuan/W, the average price of HJT components 1.25 yuan/W, down 0.01 and 0.03 yuan/W respectively; for auxiliary materials, the average price of 3.2mm/2.0mm coated photovoltaic glass was 26.50 and 17.50 yuan/square meter, respectively.

The transaction range for N-type silicon was 67,000 yuan/ton, and the average transaction price was 67,800 yuan/ton, which was the same; the transaction range for monocrystalline dense materials was 56,000 to 60,000 yuan/ton, with an average transaction price of 583,000 yuan/ton, a decrease of 2.02% from the previous month.

The latest week's rise and fall rate is high, and the PV sector is undervalued.

52 photovoltaic companies were selected as a sample. According to Wind data, the PV sector had a rise and fall of 7.27% in the last week (December 25-29, 2023), outperforming the Shanghai and Shenzhen 300 Index by 4.64 percentage points, which is higher than that of the SW industry classification. Since the beginning of the year, the PV sector's cumulative rise and fall rate was -35.09%, outperforming the Shanghai and Shenzhen 300 Index by 41.43 percentage points, which is lower than the SW industry category.

The TTM overall law valuation of the PV sector on December 29, 2023 was 11.31 times. Compared with the various sectors in the SW industry classification, the ranking is in the lower part, and the valuation is relatively low; the TTM overall law valuation of the PV sector has continued to decline since the end of '21, and is now close to or even lower than the sector valuation level at the end of '18.

Risk warning.

Risk of industry policy fluctuations; risk of increased competition; risk of new technology substitution; risk of product price fluctuations.