9 consecutive days of gains, who is "hypeing" Huadian Liaoning?

Despite the late session sell-off, Huadian Liaoning Energy still closed up 6.47%, becoming the core target of short-term funds in A-shares with a record of 8 consecutive涨停 boards in 9 days. The market attributes its surge to rising risk aversion, supportive policies for computational electricity, and the company’s accelerated transition to green energy, among other fundamental benefits. But behind the skyrocketing stock price, who exactly is pushing the momentum?

On March 26, Huadian Liaoning Energy hit its涨停 price during the session but fell back in the late trading, ultimately closing up 6.47%, missing out on a nine consecutive涨停 boards. Since March of this year, the company’s cumulative stock price increase has reached an impressive 164.29%, achieving 8涨停 boards in just 9 trading days with a very strong performance.

The rising market risk aversion, the policy dividends of computational electricity, combined with the company’s accelerated green energy transition and the launch of a hundred billion offshore wind power project, have collectively become the core logic for the company being chased by funds.

However, in stark contrast to the rising stock price, foreign institutional investors have been exiting, and founding shareholders continue to reduce their holdings. This raises the question: Who is leading the market trend behind this round of stock price surge?

Zhang Mengzhu****** “Takes Action”******

On March 26, Huadian Liaoning Energy reached its涨停 price during the session, but saw a sell-off in the late trading, ultimately closing up 6.47%. Looking back at its recent gains, it achieved 8涨停 boards in the past 9 trading days. Since March of this year, the company’s cumulative increase has reached 164.29%.

This round of Huadian Liaoning Energy’s performance may be related to the spreading market risk aversion. As expectations of obstruction in the Strait of Hormuz rise and oil prices increase leading to a cooling of Federal Reserve rate cut expectations, market funds’ risk appetite quickly declines, turning to targets with high safety margins and strong volatility resistance.

As a core energy platform under Huadian Group, Huadian Liaoning Energy is backed by strong central enterprise strength. Its main thermal power business not only bears the responsibility of ensuring energy supply in the region but also benefits from recent coal price declines and favorable policies like capacity electricity pricing, making it a preferred choice for risk-averse funds.

Moreover, computational electricity synergy has been written into the 2026 government work report, officially promoted as a national strategy, and was emphasized again at the China Development Forum 2026 annual meeting on March 23, with plans to have 80% of new computational facilities in green electricity applications by the end of the “14th Five-Year Plan.”

Policy benefits have driven the green electricity concept to strengthen, and Huadian Liaoning Energy began its green electricity transition in 2023, with wind and solar power capacity now beginning to take shape, fully benefiting from this wave of momentum.

On the news front, in early March, the company’s nearly 19.6 billion yuan investment in the Dandong 2 million kilowatt offshore wind power project has been established, expected to achieve full capacity grid connection by 2028, with an annual additional revenue of up to 1.8 billion yuan; the company also plans to increase new energy capacity from the current 17.4% to 30% by 2027.

It is noteworthy that in stark contrast to the soaring stock price, there has been a “replacement” in Huadian Liaoning Energy’s shareholder list. In the second quarter of 2025, Huadian Liaoning Energy briefly became a “favorite” of foreign capital, with UBS and Morgan Stanley entering as the sixth and tenth largest shareholders, respectively. However, just one quarter later, both foreign institutions exited completely, and founding shareholder Liaoning Energy Investment simultaneously reduced its holdings, cutting down 10 million and 4.7 million shares in the second and third quarters of 2025, respectively, with its holding ratio falling from 17.6% to 16.6%.

Even with foreign capital and old shareholders exiting one after another, it has not hindered the upward trend of the stock price, with strong participation from retail investors becoming the main driving force behind this wave of momentum. Since March, multiple seats of Guotai Junan Securities in Shanghai, often used by Zhang Mengzhu, have frequently appeared on the leaderboard, along with retail investors like Fang Xinxia, Lin Tao, and Zuo Shou Xin Yi making frequent appearances on the buying and selling lists.

Twenty Years of Capital****** Rise and Fall******

In the context of skyrocketing stock prices, the over twenty-year history of capital ups and downs for Huadian Liaoning Energy has once again come into the market’s view.

This energy-listed platform, now adorned with the halo of a central enterprise, was once an obscure company known as Shenyang Jingshan Thermal Power Co., Ltd. (hereinafter referred to as “Jingshan Co.”).

In 2001, Jingshan Co. officially landed on the Shanghai Stock Exchange, at that time still a local state-owned enterprise backed by Shenyang Metallurgy, primarily engaged in thermal power and heating business, undertaking the basic energy supply responsibilities for Shenyang and surrounding areas.

In 2002, the A-share market saw a wave of state-owned enterprise equity reform, and Jingshan Co. experienced its first change of ownership. A Shenzhen-based investment company with a registered capital of only 50 million yuan, established just five months prior, teamed up with two other capital firms, purchasing the 56.02% state-owned equity held by Shenyang Metallurgy at a price of 4.39 yuan per share, which was over 40% premium to the then market price of 3.15 yuan. Among them, Shenzhen Dongdian acquired a 29% stake in this transaction to become the largest shareholder, performing a “snake swallowing an elephant” act.

Just two years later, Shenzhen Dongdian reduced its holdings and exited, with Dandong Dongfang New Energy, deeply rooted in Liaoning Electric Power, rising to become the controlling shareholder. After a brief period of control by private capital, the control of Jingshan Co. returned to industrial capital.

The year 2009 marked a pivotal turning point for Jingshan Co. China Huadian Group, through its wholly-owned subsidiary Huadian Jingshan Energy, acquired 100% equity of Dandong Dongfang New Energy for 1.27 billion yuan, indirectly becoming the actual controller of Jingshan Co.

After Huadian Group took over, the company officially embarked on a fast track of capital integration. In 2015, the company welcomed a highlight moment in capital operations, spending 2.857 billion yuan to acquire 100% equity of Liaoning Huadian Tieling Power through a share issuance. This transaction is considered a milestone in the company’s development history. After acquiring Tieling Power’s installed capacity of 2.4 million kilowatts, the company’s overall installed capacity directly doubled. This transaction also resolved the internal competition issue within Huadian Group, with Jingshan Co. then becoming the thermal power leader in Liaoning.

In the same year, Jingshan Co. also acquired 90% equity of Xiwqi Taiqin Water Affairs, further improving the supporting water supply system in the Bayinhu area, establishing an integrated regional pattern of “coal, electricity, and water.”

However, the hidden dangers brought by large-scale expansion began to gradually emerge. With continuous increases in coal prices and ongoing pressure on profitability in the thermal power industry, the company’s once core assets, Tieling Power and Fuxin Thermal Power, gradually became loss burdens, leading to a sharp downturn in the company’s performance. Between 2021 and 2022, the company incurred a cumulative loss of nearly 4 billion yuan, with net assets turning negative by the end of 2022. The company was placed under delisting risk warning in April 2023, and its stock name was changed to ST Jingshan.

In a critical moment, the controlling shareholder Huadian Group decisively took action to implement capital self-rescue. In September 2023, the company packaged and sold its heavily loss-making 100% equity of Tieling Power and 51% equity of Fuxin Thermal Power for 443 million yuan, recognizing over 2.9 billion yuan in investment income in a single year. This transaction not only helped the company turn its net assets from negative to positive and achieve profitability but also smoothly lifted the delisting risk warning, preserving its listing status.

After unloading the historical loss burden, Jingshan Co. completed its business name change that year, officially changing its stock name to Huadian Liaoning Energy in 2024.

After successfully maintaining its listing, Huadian Liaoning Energy did not stop optimizing its assets. On November 5 last year, the company listed for transfer its wholly-owned subsidiary Huadian (Dalian) Energy Co., Ltd. 100% equity on the Beijing Property Exchange.

Huadian Group’s****** Capital Layout******

From the former ST Jingshan on the verge of delisting to the now popular target for retail speculation, Huadian Liaoning Energy’s fluctuations in the capital market are inseparable from the support of its actual controller, Huadian Group.

Huadian Group originated from the groundbreaking reform of separating power plants from networks in 2002. At its inception, it held multiple listed platforms, including Shandong International Power, which had already been listed in H shares, as well as A-share listed companies Longdian Co., Guodian Nanzi, and Qianyuan Power.

In the following years, the group continuously optimized the positioning of its platforms. Shandong International Power was renamed Huadian International and landed on the Shanghai Stock Exchange in February 2005, becoming the “first inquiry stock” after the implementation of the A-share inquiry issuance system, while also becoming one of the first domestic power companies to achieve A+H listings. The veteran state-owned power asset listed first stock, Longdian Co., also completed its name change in 2004, transforming into Huadian Energy.

At this point, the listed platforms under Huadian Group fully covered four major tracks: thermal power, Northeast region, power technology, and Southwest hydropower.

In 2008, taking advantage of the profitability pressure in the thermal power industry, Huadian Group further acted by acquiring 100% of Dandong Dongfang New Energy for a market price of 1.27 billion yuan, indirectly gaining control over Jingshan Co. and precisely filling the gap in the group’s energy business in the Liaoning region.

In the following years, Huadian Group continued to enhance its capital landscape. In 2012 and 2014, it successively pushed Huadian Fuxin, which integrated the group’s scattered wind, hydropower, and photovoltaic assets, and Huadian Heavy Industry, which was internally cultivated (later renamed Huadian Technology), onto the capital market, with Huadian Fuxin becoming the second Hong Kong-listed platform of the group.

During the same period, Huadian Group also tackled the problem of internal industry competition. From 2014 to 2015, Huadian Group led its subsidiary Jingshan Co. in completing acquisitions of equity in Baiyin Huajingshan and Tieling Company.

With the advent of the dual carbon era, the energy industry’s transformation became a trend, and Huadian Group quickly adjusted its strategic focus, with its capital platforms responding accordingly.

In 2020, due to the continuous decline in the valuation of new energy power generation companies in the Hong Kong stock market, Huadian Fuxin’s share price also hit new lows, and its market value stagnated, almost losing its financing ability. The group then initiated capital operations, issuing a privatization announcement in June of that year, with wholly-owned subsidiary Huadian Furuish completing the privatization through absorption and merger. Four months later, Huadian Fuxin officially delisted from the Hong Kong Stock Exchange.

Unexpectedly, just one month after delisting, Huadian Group began a large-scale asset injection, valuing 18.1 billion yuan, injecting control over 139 new energy power generation companies, 11 subsidiaries or wind and solar power project assets, 2 nuclear power companies and a stake in a new energy power generation company into Huadian Fuxin. The following year, Huadian International also injected all its wind and solar assets into it while bringing in several strategic investors, including China Life, Ping An Life, and the National Green Development Fund.

In 2022, Huadian Fuxin officially changed its name to Huadian New Energy and submitted its A-share IPO prospectus, successfully passing the review the following year. In 2025, Huadian New Energy officially landed in A-shares, with a market value of 300 billion yuan, becoming the largest energy company IPO in A-shares that year.

In addition to promoting the listing of subsidiaries, the group’s core platforms simultaneously pushed for transformation. Huadian International introduced mixed reform funds through a private placement in August 2025, promoting the company’s transition from thermal power to new energy, and also launched a clean energy REIT that month; Huadian Liaoning Energy, also under the group, made substantial investments in offshore wind power projects that year.

In March of this year, Huadian Technology signed a contract worth 740 million yuan to provide 10 units of 18-25MW wind turbine foundations for the national offshore wind power research and testing base.

In the future, as the assets within the system gradually mature, Huadian Group may reap more capital platforms.

Editor | Chen Bin