CGN POWER (01816) rose more than 4% during trading. At the time of writing, the stock was up 4.31% to HK$3.39, with a turnover of HK$193 million.

The increase follows developments impacting global energy supplies. Due to the crisis involving Iran, Qatar Energy has announced a production halt. Simultaneously, shipping traffic through the Strait of Hormuz has nearly stalled, intensifying risks to the global natural gas supply. International natural gas prices are expected to see a period of increase.

According to analysis, as a typical safe-haven asset, nuclear and hydro power are likely to be among the first to attract market capital amid evolving and escalating geopolitical risks. It was noted that nuclear power has a low proportion of fuel costs, and its cost structure has remained largely unchanged for years. After commencing operations, nuclear power plants achieve high and stable utilization hours.

Looking ahead, the approval of 10 new nuclear power units in 2025 continues a trend of high growth in approvals, opening up significant growth opportunities for nuclear power companies. Profitability for these companies is expected to gradually improve as new units begin operation. Investors are advised to focus on leading players in the sector.