Investment Risk Warning Of China’s Renewable Energy Industry

Global economy growing demand for energy development. For traditional energy sources are depleted and the increased new energy demand, the new energy has become an important part of future energy strategy. As a high-tech, high investment and high risk industry, the investment risk of new energy industry is a major obstacle to the healthy development of China’s new energy and, therefore, analyzing the related risk factors to predict and warning to the overall investment of the new energy industry has an important practical and theoretical significance.Investment Risk Warning of China’s Renewable Energy Industry is a new area. The related concepts and research areas of investment risks in new energy industry were defined basing on the literature review. First, the overall investment of the new energy industry is analyzed, including the investment structure of the new energy industry, investment scale, problems and so on. Secondly, investment risk factors in new energy industry were analyzed, constructed Risk Index. Once again, build a new energy industry investment risk warning system. All listed companies as the research of individuals to establish risk warning indicator system, select all listed companies in the new energy industry, 2002-2014 years of operation data, the use of panel data for empirical analysis. Use BP-Logistic mixed model to research the Investment Risk Warning of China’s Renewable Energy Industry. The results showed that the optimal point value of 0.4952, suspicious ranges(0.3860,0.6478), there are four quarters of 17 quarters in the range of suspicious. It should be focus on. Combining model equations, the operating capacity and development capacity of new energy industry have a great impact on investment risk. The new energy enterprises should focus on improving the management capacity of both.For empirical results and practical development, put forward relevant suggestions, including the creation of favorable institutional environment, the implementation of the subsidy policy and taxation. Improve R&D capabilities. Strengthen the capital market efforts to guide the new energy industry. Improve the chain and improve energy efficiency. Improve asset turnover and return on assets, strengthen cash flow management, improve the quality of earnings to improve the investment of new energy industry risk profile.