UBS has issued a research report initiating coverage on SIGENERGY (06656) with a "Buy" rating and a target price of HK$651. Established in 2022, the company has rapidly expanded its production capacity, with shipments growing from 0.02 GWh in 2022 to an estimated 3.9 GWh by 2025. The bank noted that SIGENERGY's flagship product—a stackable, fully integrated distributed battery energy storage system (BESS)—is experiencing robust demand, capturing a 28.6% global market share in its segment in 2024. Supported by its competitive product offerings and well-established sales channels, UBS expects SIGENERGY to achieve an average annual compound growth rate of 33% in earnings per share from 2026 to 2028.
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