Comparative Analysis Report on Power Companies: Yangtze Power, Huaneng Hydropower, SDIC Power, Sichuan Investment Energy

On November 15, 2025, an analysis article comparing the nearly decade-long operating data of four major hydropower companies (Yangtze Power, Huaneng Hydropower, SDIC Power, Sichuan Investment Energy) was released, focusing on profit performance, dividend policies, and investment returns [1]. The analysis points out:

• Yangtze Power demonstrates excellent profitability and a stable high dividend yield, making it a typical value investment target
• Huaneng Hydropower shows high growth potential, with continuous improvement in profit margins
• SDIC Power has weak historical performance, but the enhancement of dividend commitments may bring valuation repair opportunities
• Sichuan Investment Energy’s profits are highly dependent on investment returns; although the long-term equity investment return rate is high, it shows a downward trend, and its dividend policy has fluctuated recently

According to real-time market data [0], on November 15, 2025, the stock prices of all four companies showed a slight decline:

• Yangtze Power (600900.SS): -0.35% to 28.34 CNY
• Huaneng Hydropower (600025.SS): -1.55% to 9.51 CNY
• SDIC Power (600886.SS): -1.77% to 13.91 CNY
• Sichuan Investment Energy (600674.SS): -0.81% to 14.65 CNY

This decline may reflect the market’s concern that the overall valuation of the hydropower sector is at a historical high. According to a report from TF Securities, as of December 2024, the average PE (ttm) quantile of the hydropower sector is 83.2%, which is at a ten-year valuation high [3].

Research from Huachuang Securities points out that against the backdrop of monetary policy shifting to moderate easing, risk-free yields continue to decline, and the valuation of high-dividend assets such as hydropower is expected to further increase [1]. Soochow Securities lists Yangtze Power as a dividend benchmark and recommends paying attention to the investment value of the four companies [2].

Combined with real-time market data [0] and broker forecast data [1][3]:

Company	Stock Code	Current Stock Price (CNY)	PE(TTM)	2025E Net Profit (100 million CNY)	2025E Valuation Multiple
Yangtze Power	600900.SS	28.34	21.31	366.7	19.2x
Huaneng Hydropower	600025.SS	9.51	20.67	94.6	18.2x
SDIC Power	600886.SS	13.91	16.96	84.7	14.2x
Sichuan Investment Energy	600674.SS	14.65	16.65	54.1	15.3x

Note: 2025E valuation multiples are from TF Securities forecasts [3], and net profit forecasts are from Huachuang Securities [1]

According to 2023 data [1]:

• SDIC Power: 3.5%
• Yangtze Power: 3.3%
• Sichuan Investment Energy: 2.6%
• Huaneng Hydropower: 2.0%

Yangtze Power has committed to distributing cash dividends of no less than 70% of its annual net profit from 2021 to 2025, and this policy provides investors with stable income expectations [4].

1. Details of Sichuan Investment Energy’s Investment Returns
   : Lack of latest performance data of its investment portfolio, especially the specific reasons and trends for the decline in long-term equity investment returns
2. Details of SDIC Power’s Dividend Commitments
   : No specific terms and implementation plans of its dividend commitments have been obtained
3. Latest Dividend Yield Data
   : The searched dividend yield data is for 2023; need to confirm the latest dividend situation for 2024-2025
4. Changes in Sichuan Investment Energy’s Dividend Policy
   : No specific content and reasons for the recent fluctuations in its dividend policy have been found

From the valuation perspective, SDIC Power and Sichuan Investment Energy currently have PE lower than the industry average, with room for valuation repair; while Yangtze Power and Huaneng Hydropower have higher valuations but stronger performance stability [3].

From the growth perspective, Huaneng Hydropower’s 2025 net profit growth rate forecast reaches 11.7%, higher than the other three companies, showing stronger growth potential [1].

1. Investment Return Risk of Sichuan Investment Energy
   : Its profits are highly dependent on investment returns; if the equity investment return rate continues to decline, it may have a significant impact on the company’s performance
2. Pressure on SDIC Power’s Thermal Power Assets
   : SDIC Power’s internal thermal power assets have poor performance, which may drag down overall performance [1]
3. High Valuation Risk
   : The current valuation of the hydropower sector is at a historical high, with the risk of correction [3]
4. Water Inflow Uncertainty
   : The performance of the hydropower industry is greatly affected by natural water inflow, with uncertainty

• Performance of Yangtze Power after the injection of Wudongde and Baihetan hydropower stations
• Huaneng Hydropower’s installed capacity growth and profit margin improvement
• Implementation of SDIC Power’s dividend commitments
• Adjustment strategy of Sichuan Investment Energy’s investment portfolio

: This report is compiled based on public market data and broker research reports and does not constitute investment advice. Investors should make investment decisions carefully based on their own risk tolerance and investment objectives.