JP Morgan: Expects the energy storage industry integration driven by anti-overwork policies to give a "buy" rating to GCL TECH (03800) and others in 2026.

JPMorgan Chase released a research report stating that the prices of CECEP Solar Energy's silicon wafers and cells are expected to significantly increase in December 2025, mainly due to the rising costs of key materials (including polycrystalline silicon and silver paste), partly driven by anti-internal circulation policies. With the establishment of a polycrystalline silicon industry integration platform in early December 2025, the industry is expected to undergo policy-driven integration in 2026. The bank has given a "hold" rating for GCL TECH (03800) and Daqo New Energy Corp Sponsored ADR (DQ.US). The H shares of Goldwind Science & Technology (02208) and the A shares of Goldwind Science & Technology (002202.SZ) rose by 17% and 18% respectively in early January 2026 (from December 31, 2025 to January 6, 2026), while the Hang Seng State-Owned Enterprises Index rose by 4% and the Shenzhen Stock Exchange Composite Index rose by 3% during the same period. According to discussions with investors, this round of increase may be attributed to market expectations of the value release of the 4.14% stake in Blue Arrow Aerospace held by Goldwind Science & Technology, as Blue Arrow Aerospace currently has IPO plans. Since December 31, 2025, the market value of Goldwind Science & Technology has increased by approximately 14 billion yuan. Based on the bank's calculation, this means that Blue Arrow Aerospace's valuation multiple will reach 88 times the 2024 fiscal year price-to-book ratio (assuming no group discount for Goldwind Science & Technology). In the upstream wind power field, the bank recommends investors to turn to Ningbo Orient Wires & Cables (603606.SH). Sieyuan Electric (002028.SZ) and Contemporary Amperex Technology (03750) have signed a three-year energy storage cooperation memorandum of understanding with a total scale of 50GWh. The bank believes that this cooperation demonstrates Sieyuan Electric's ambition to develop its energy storage system business, with total capacity supporting approximately 20 billion yuan in revenue annually when fully completed. Based on preliminary estimates, the bank expects that this 50GWh cooperation could bring over 10% upside to Sieyuan Electric's market consensus profit forecast for the 2027 to 2028 fiscal year.