An Analysis On Investment Value For Huadian Power International Co.

Electric industry is a cyclical industry with good relation with macroeconomy. Its prospect is a closed link with macroeconomic situation. With the rapid growth of economy in recent years, electric industry enters a new round prosperity cycle. The fast development of urbanization and heavy chemical industries stimulate the robust growth of electric demand. In 2003, there were 17 provinces in electric shortage around nation, but in 2004 this scope is enlarged into 24 provinces. Because the new installed capacity is still lagged behind the factual growth of electric consumption, the contradiction of electric supply and demand becomes more and more fierce. During the summit period of electric consumption in 2004, the electric shortage reached 30,000 MW. Year 2004 was the worst year in electric consumption situation since last 90th.Looking forward to the future, the economy of nation will remain fast and healthy developing, the economic structure will get more optimized.According to the future electric supply and demand, the electric shortage of nation is still in severe situation until 2007. The electric shortage creates opportunities for the future development of electric industry, meanwhile appears the investment value of electric industry.Under the background, this paper takes Huadian Power International Co. as example, one of the listed companies of electric industry, to analyze its investment value and provide the helpful advice for investor's investment decision.This paper is composed by six chapters.The first chapter is the overview of research. Propose the research background of this paper, the main issues to research, the worthwhile of research and the research framework.