The ultimate destination of artificial intelligence is computing power, and the ultimate destination of computing power is electricity. The recent strong performance of the power sector confirms this view. The core driver for the power sector is the HALO transaction, which is reshaping valuation logic. The HALO transaction concept has recently gained significant attention. Its core premise is that, against a backdrop of rapid AI technology iteration and high substitution risks for asset-light business models, market capital is shifting towards assets with extremely high replication costs, exceptionally long service lives, and strong physical barriers as safe havens. Power infrastructure perfectly fits these characteristics. First is its irreplaceability. Global electricity consumption by data centers is projected to grow from 416 TWh in 2024 to 946 TWh in 2030, representing a compound annual growth rate of 15%, with AI contributing the major share of this increase. This highlights the rigid demand and strategic scarcity of power supply. How intense is the AI demand? Data suggests that up to half of the global data center projects scheduled to commence operation in 2026 may face delays. A report indicates that, of the capacity planned to come online in 2026, a significant 11 gigawatts remains at the announced but not-yet-commenced stage. Second are the barriers inherent to power assets. Building power generation facilities, such as thermal, hydro, and nuclear plants, requires massive investment and has long approval cycles. The power grid network possesses natural monopoly characteristics, making it extremely difficult to be rapidly disrupted or replicated by technology, thus forming a deep economic moat. Beyond the thematic logic, positive changes are occurring in the power sector's fundamentals, providing a solid foundation for valuation improvement. Policy-wise, the General Office of the State Council has issued a document aiming to basically establish a nationally unified power market system by 2030. Mechanisms like capacity pricing and green electricity trading are continuously being refined. These aim to fully reflect the multi-dimensional value of electricity—encompassing energy, regulation, environmental, and capacity aspects—thereby driving improvements in the industry's profit model and value reassessment. On the demand side, total electricity consumption in society surpassed 10 trillion kilowatt-hours for the first time in 2025, indicating ongoing industry expansion. With expectations of strengthened dual carbon emission controls during the 15th Five-Year Plan period, the long-term trend towards cleaner power generation is clear. Regarding performance, the optimization of electricity pricing mechanisms, coupled with easing pressure from coal costs, is leading to continuous improvement in the financial health of the power sector. Based on 2025 performance forecasts and preliminary reports from related power companies, many stocks have achieved high net profit growth. As of the latest data, 46 power stocks have issued 2025 performance-related announcements. Using preliminary report data or the median of forecasts, 24 of these companies reported net profits exceeding 100 million yuan. China Yangtze Power led in net profit scale at 34.17 billion yuan. Companies like Datang Power, Jingneng Power, Shanghai Electric Power, and Gansu Energy Resources reported net profits ranging between 2 billion and 8 billion yuan. Over 90% of the companies that issued performance forecasts or preliminary reports exceeded or met expectations, indicating a high level of industry prosperity. As a sector allocation tool, the Power ETF Huabao (159146) has shown strong performance recently. On the morning of March 4th, this ETF rallied over 1% intraday, approaching the previous day's high. In terms of the underlying index, the Power ETF tracks the CSI All Share Power Utilities Index (H30199.CSI), which comprehensively covers 57 power utility stocks, including thermal, hydro, nuclear, wind, and solar power. Regarding valuation, as of March 2, 2026, the price-to-earnings ratio (PE-TTM) of the Power ETF Huabao's underlying index was approximately 18.41 times, sitting at the 41.69th percentile level over the past five years, suggesting reasonable investment value. In summary, the power sector is currently in a window where thematic drivers and fundamental improvements are resonating. The HALO transaction logic provides the sector with a 'safety premium' against technological disruption risks, while intrinsic profit recovery and long-term growth prospects offer a margin of safety for investment. The Power ETF Huabao (159146), as a tool for bundled investment in leading power companies, provides investors with an efficient, low-cost path to participate in this sector. Key future catalysts include: 1) Policy implementation: Specific details for building the national unified power market and the introduction of capacity pricing policies in more provinces. 2) Demand verification: Power demand data resulting from the construction of AI computing centers in the first quarter of 2026. 3) Performance delivery: Validation of the sustainability of power companies' profit improvements in the 2025 annual reports and 2026 first-quarter reports. Data in this article is sourced from publicly available market information and is for research purposes only; it does not constitute any investment advice. Markets involve risks, and investing requires caution. The MACD golden cross signal has formed, indicating positive momentum for several stocks.