Don’t throw the baby out with the bathwater
- Solar glass is the only segment in the solar value chain unaffected by price war thanks to duopoly competitive structure
- FGG offers a direct exposure to growing solar module installation volume
- Recent share price decline is unwarranted, current H-share P/E of c.9x is attractive on absolute and historical basis
- FGG H-share is our sector top pick; Recommend BUY on H/A shares with HK$23/Rmb37 TP