Two major core drivers support! Photovoltaic equipment continues to perform strongly; 14 stocks have risen over 50% this year.

Photovoltaic equipment performed strongly in the early trading session on February 27, with JunDa Shares, Shuangliang Energy Saving, and Yongzhen Shares hitting the daily limit; Juhe Materials surged over 10%.

Two Major Core Drivers Support

Overall market analysis shows that the recent sustained strength of photovoltaic equipment is driven by market expectations for space-based photovoltaics. The core demand for space photovoltaics is fueled by the dual forces of commercial spaceflight and AI computing power.

Huaxin Securities stated that in commercial spaceflight, the orbits and frequency bands in low Earth orbit are scarce strategic resources. Countries are actively deploying satellite constellations to gain an advantage. Currently, there are about 15,000 satellites in orbit worldwide. Since the “Starlink” low-orbit constellation race began, over 300 constellation plans have been submitted, with an expected deployment of over one million satellites, creating a continuous and rigid energy demand. Regarding AI computing power, as AI technology advances, energy consumption for computing grows exponentially, pushing infrastructure into space. In this context, the concept of “space data centers” has emerged, deploying AI-chip satellites in space and relying on space-based photovoltaics for continuous power supply to handle future ground energy system pressures.

Recently, Tesla CEO Elon Musk’s support for space photovoltaics has further increased interest. In November 2025, Musk publicly stated that solar-powered AI satellites could become the most cost-effective AI computing power supply solution within five years, planning to deploy 100 GW of solar AI satellites annually in low Earth orbit. In January 2026, Musk said at the Davos Forum that SpaceX and Tesla are advancing the U.S. photovoltaic manufacturing capacity, further confirming their extensive space photovoltaic plans. Not long ago, Musk’s team also visited domestic photovoltaic companies.

Total Installed Capacity Exceeds 1200 GW?

In recent years, many countries have launched large constellation deployment plans, often consisting of thousands or even tens of thousands of satellites, mainly in low Earth orbit. Companies like SpaceX, Amazon, Astra Space have taken the lead internationally, while domestic players such as CTC, State Grid, and Qianfan are also actively promoting.

According to research by Andrea D’Ambrosio’s team, considering long-term stability of the space environment, when satellite failure rate is 7%, the maximum capacity of low Earth orbit is about 12.6 million satellites, with an optimal annual launch scale of 2.7 million satellites. The higher the tolerated failure rate, the more satellites the orbit can support, meaning greater orbital capacity.

Assuming an average power generation of 100 kW per satellite, the total installed capacity for the maximum capacity would reach 1260 GW, with an annual new installation space of up to 270 GW.

Ground Photovoltaics Going Global

According to Guotai Haitong, besides the development of low Earth orbit satellites and space computing power, data center photovoltaic and energy storage support are also promising. The increasing demand for computing power accelerates the need for stable, low-cost, and replicable photovoltaic + energy storage solutions, shifting ground photovoltaic installation logic from power-driven to computing-driven.

With overseas installation demand releasing and China’s photovoltaic industry chain expanding abroad, domestic equipment manufacturers have opportunities to go global. Dongwu Securities noted that since 2019, many Chinese photovoltaic companies have accelerated the construction of integrated capacity in Southeast Asia and other regions. Meanwhile, overseas countries like the U.S., Europe, and India are focusing on building their own capacity, initiating a new wave of expansion. Chinese PV equipment manufacturers have secured numerous overseas orders, selling equipment to international clients with self-built capacity in Europe, America, and India, gaining extensive experience in going abroad.

From the perspective of the overseas revenue share of China’s four major PV equipment manufacturers, Autowell and Mawei have relatively faster overseas expansion, with overseas revenue shares of 23% and 20% in the first half of 2025, respectively. Jing Sheng Electric and Gaocan have overseas revenue shares of 11% and 8%. We believe that as PV capacity in the Middle East and other regions rapidly expands, the proportion of overseas revenue for domestic equipment manufacturers is expected to increase significantly.

Image source: Dongwu Securities

14 Stocks Expected to Rise Over 50% in 2026

Looking at individual stocks, the PV equipment sector has been strong since 2026. As of the close on February 27, Liancheng CNC, Autowell, and Laplace have doubled, with gains of 153.19%, 112.99%, and 112.83%, respectively.

Overall, out of 70 PV equipment stocks, 61 have risen since 2026, with an 87% increase rate. Fourteen stocks have gained over 50%, with a median increase of 20.96%.

Among the top 20 gainers, Liancheng CNC, Dico, GCL Integration, JunDa Shares, Airo Energy, Haiyou New Materials, Yamatun, Yongzhen Shares, Shuangliang Energy Saving, Gaocan, and Gaocan are predicted by institutions to double their performance in 2026. Yongzhen Shares is expected to increase by as much as 1756.6%.

Looking ahead, GF Securities states that AI giants are competing fiercely, and “computing power to the sky” has become a consensus. Under this trend, space photovoltaics as a primary energy source are expected to benefit deeply, potentially creating a market space worth hundreds of billions of yuan in PV equipment.

Dongwu Securities believes that by 2025, fundamentals will be fully clarified. As excess capacity is cleared faster, industry standards and pricing mechanisms are gradually optimized, and supply-side structural improvements are evident, PV equipment orders are expected to recover in 2026 amid overseas demand release and domestic market normalization. The sector has significant cyclical recovery potential.

(Source: Oriental Wealth Research Center)