HK Stock Market Move | Dongfang Electric Corporation (01072) rises by over 3% again. They have secured a milestone order from a Canadian customer for 20 units of 50 MW gas turbine generator sets.

Dongfang Electric Corporation (01072) rose more than 3% again. As of the time of writing, it has increased by 1.07% to 45.1 Hong Kong dollars, with a turnover of 6.66 billion Hong Kong dollars. Citigroup released a research report stating that Dongfang Electric Corporation has achieved a milestone order of 20 sets of 50MW gas turbine generators from Canadian customers due to a key strategic breakthrough. The unit price is 200 million RMB with a gross profit margin of 40-50%. The report indicates that based on the expected revenue from gas turbine generators, Dongfang Electric Corporation's net profit forecast for the fiscal year 2026-2027 has been raised by 14-21%. Calculated at a Hong Kong stock price-earnings ratio of 22 times in 2026 and an A-share price-earnings ratio of 26 times, the company is attractive in the global gas turbine industry. China Securities Co., Ltd. believes that the power shortage in North America brings opportunities for Dongfang Electric Corporation to export self-developed gas turbines to developed countries. The supply-demand gap is large enough to support China's entry into the global supply chain in the rare 30-year cycle of gas turbines. It is estimated that the overall value of the company's overseas gas turbine business could reach hundreds of billions, or even trillions. The main uncertainties come from doubts about growth and neglect of after-sales service, but the diversification of Dongfang Electric Corporation's business and the gradual elimination of the cyclicality of adding new installed capacity in the power sector.