Smart grid sector surges with limit-up streaks, producing 48 double-increase stocks in one year

On March 4th, the smart grid sector experienced a surge in limit-up hits, with multiple stocks rising strongly, forming a sharp contrast to the previous two days’ pullbacks.

By the close, more than ten stocks such as Canaan Intelligent (300880.SZ), Tongguang Cable (300265.SZ), Ankou Smart Electric (300617.SZ), Fuda Alloy (603045.SH), Hanlan Co., Ltd. (002498.SZ), Jicheng Electronics (002339.SZ), Shama Power (603530.SH), Huadong Cable (605196.SH), Hangdian Co., Ltd. (603618.SH) hit the daily limit.

Funding Deployment Logic

In the short term, policy benefits are being released in concentrated bursts, triggering short-term speculative activity.

According to State Grid Corporation, during the 14th Five-Year Plan, fixed asset investment is expected to reach 4 trillion yuan, a 40% increase over the 14th Five-Year Plan. The focus is on four major areas: ultra-high voltage, smart distribution networks, digital and intelligent transformation, and new energy storage. Plans include commissioning 15 ultra-high voltage direct current projects, with cross-region and cross-province transmission capacity increasing by over 30%, supporting the development and delivery of clean energy bases like “Shagehuang,” and driving the entire industry chain.

Meanwhile, the National Energy Administration announced the first batch of pilot projects for capacity enhancement of new power systems (43 projects across 10 pilot cities), covering seven major directions including smart microgrids, computing and electricity collaboration, and virtual power plants.

The National Energy Administration clarified that by 2026, efforts will continue to deepen the construction of a unified national electricity market, aiming for about 70% of electricity trading to be market-based by 2030. The scale of market-based electricity trading will expand, raising higher requirements for grid dispatching, load forecasting, and data collection, with surging demand for smart power Internet of Things (IoT) and big data platform construction.

In the long term, industry upgrading trends are clear, and long-term capital deployment value is highlighted.

Global AI computing power construction is accelerating, with a surge in high-power data center power supply demands, driving growth in smart grid equipment (transformers, distribution devices), forming a long-term industry support.

According to The Information, over the past few months, the three major regional grid operators in the U.S. (Texas, Mid-Atlantic, and Midwest) have approved a total of $75 billion in transmission expansion projects, mainly building a batch of 765 kV ultra-high voltage lines, which will become the largest and most powerful transmission lines in U.S. history.

Against this backdrop, Chinese power grid equipment companies, leveraging cost and technological advantages, are seeing export opportunities. Currently, transformer factories in Guangdong, Jiangsu, and other regions are operating at full capacity, with some data center-related orders booked until 2027; companies like Weisheng Information have begun overseas localization.

Who Will Be the Next Dark Horse?

According to Tonghuashun data, as of the close on March 4th, there are 266 concept stocks in the A-share smart grid sector.

From the secondary market performance over the past year, 216 listed companies saw their stock prices rise, with 48 exceeding a 100% increase.

Seventeen companies, including Guangxin Technology, Changfei Optical Fiber, Shenghong Technology, Huadong Cable, Xiaocheng Technology, Nanjing Digital, Oriental Tower, Shanda Power, Zhiyang Innovation, Sifang Co., Hangdian Co., Hengtong Optoelectronics, Zhongchao Holdings, Xinte Electric, Siyuan Electric, Haibo Sichuang, and Tefa Information, have seen cumulative stock price increases of over 200% in the past year.

On March 4th, Wansheng Intelligent (300882.SZ) performed notably, closing at 24.21 yuan, up 1.80 yuan from yesterday, an 8.03% increase.

In the smart grid field, Wansheng Intelligent possesses multi-dimensional core competitiveness.

On one hand, its business layout aligns with industry trends. The company focuses on smart meters, electricity information collection systems, and other products widely used in smart grids and virtual power plants for energy measurement and data collection, while through subsidiaries, it develops and produces low-voltage transformers, achieving vertical integration and improving the layout of smart grid terminal devices.

On the other hand, it has prominent technological advantages. The company continuously strengthens core algorithm R&D for smart grid control systems, possessing core technologies in sensing, communication, and information processing. Its product series are comprehensive and advanced, making it one of the leading enterprises in domestic energy metering.

Additionally, it leads in production efficiency. The company has a fully automated “future factory” with end-to-end intelligent operations, managing everything from raw material storage to finished product shipping digitally and unmanned, setting a benchmark in the smart instrument industry, significantly improving core product capacity and quality stability.

Looking at recent trends, Wansheng Intelligent’s stock price has increased by 24.47% over the past three months and 57.31% over the past year, making it a promising candidate to be the next dark horse.