← National Grid overview

National Grid vs Power Construction Corp of China: why the prices moved differently

Weekly · monthly · quarterly news summaries, side by side in time

National Grid PLC (NG.LSE)

Q3 2026
▲3

National Grid's record £70bn investment plan and US AI power bet drive growth outlook

  • Record £70bn five-year investment plan National Grid will invest at least £70bn over five years, its largest ever, to connect up to 35GW of new generation and 19GW of new demand from data centres and electrification. This builds the asset base and supports 8-10% yearly earnings growth and rising dividends, pushing the shares up.

    This is the core new plan that directly drives future earnings and dividends, the main reasons investors hold the stock.

  • $1.75bn US AI power investment National Grid is investing $1.75bn for a 35% stake in Joulent, funding a 2.67GW gas-fired plant in Texas that will power a Microsoft data centre under a 20-year contract. This expands its US footprint and taps into the AI-driven electricity demand boom, a new growth driver.

    This is a new, concrete investment that opens a new growth market and is incremental to the £70bn plan.

  • UK grid upgrade costs up to £240bn The government now says Britain's grid needs up to £240bn of upgrades for net zero, far above earlier estimates. National Grid will deliver about £35bn of the £77bn planned by 2031, with more needed after. This means decades of regulated investment and earnings growth, though costs fall on consumer bills and face political criticism.

    This sets the long-term scale of National Grid's regulated investment opportunity, a key driver of its value.

  • Valuation debate after US investment After the Joulent deal, analysts say National Grid looks fairly valued on dividends (intrinsic value about £12.79, only 2.7% above the price) but cheaper than peers on earnings (19.1 times vs 22.7 times). The debate is whether heavy investment can grow cash flow without squeezing dividends.

    This gives a fair counterweight: the stock may not be cheap, and the investment phase carries risk to dividends.

July 2026
▲3

National Grid's record £70bn investment plan and US AI power bet drive growth outlook

  • Record £70bn five-year investment plan National Grid will invest at least £70bn over five years, its largest ever, to connect up to 35GW of new generation and 19GW of new demand from data centres and electrification. This builds the asset base and supports 8-10% yearly earnings growth and rising dividends, pushing the shares up.

    This is the core new plan that directly drives future earnings and dividends, the main reasons investors hold the stock.

  • $1.75bn US AI power investment National Grid is investing $1.75bn for a 35% stake in Joulent, funding a 2.67GW gas-fired plant in Texas that will power a Microsoft data centre under a 20-year contract. This expands its US footprint and taps into the AI-driven electricity demand boom, a new growth driver.

    This is a new, concrete investment that opens a new growth market and is incremental to the £70bn plan.

  • UK grid upgrade costs up to £240bn The government now says Britain's grid needs up to £240bn of upgrades for net zero, far above earlier estimates. National Grid will deliver about £35bn of the £77bn planned by 2031, with more needed after. This means decades of regulated investment and earnings growth, though costs fall on consumer bills and face political criticism.

    This sets the long-term scale of National Grid's regulated investment opportunity, a key driver of its value.

  • Valuation debate after US investment After the Joulent deal, analysts say National Grid looks fairly valued on dividends (intrinsic value about £12.79, only 2.7% above the price) but cheaper than peers on earnings (19.1 times vs 22.7 times). The debate is whether heavy investment can grow cash flow without squeezing dividends.

    This gives a fair counterweight: the stock may not be cheap, and the investment phase carries risk to dividends.

Latest
▲3

National Grid's record £70bn investment plan and US AI power bet drive growth outlook

  • Record £70bn five-year investment plan National Grid will invest at least £70bn over five years, its largest ever, to connect up to 35GW of new generation and 19GW of new demand from data centres and electrification. This builds the asset base and supports 8-10% yearly earnings growth and rising dividends, pushing the shares up.

    This is the core new plan that directly drives future earnings and dividends, the main reasons investors hold the stock.

  • $1.75bn US AI power investment National Grid is investing $1.75bn for a 35% stake in Joulent, funding a 2.67GW gas-fired plant in Texas that will power a Microsoft data centre under a 20-year contract. This expands its US footprint and taps into the AI-driven electricity demand boom, a new growth driver.

    This is a new, concrete investment that opens a new growth market and is incremental to the £70bn plan.

  • UK grid upgrade costs up to £240bn The government now says Britain's grid needs up to £240bn of upgrades for net zero, far above earlier estimates. National Grid will deliver about £35bn of the £77bn planned by 2031, with more needed after. This means decades of regulated investment and earnings growth, though costs fall on consumer bills and face political criticism.

    This sets the long-term scale of National Grid's regulated investment opportunity, a key driver of its value.

  • Valuation debate after US investment After the Joulent deal, analysts say National Grid looks fairly valued on dividends (intrinsic value about £12.79, only 2.7% above the price) but cheaper than peers on earnings (19.1 times vs 22.7 times). The debate is whether heavy investment can grow cash flow without squeezing dividends.

    This gives a fair counterweight: the stock may not be cheap, and the investment phase carries risk to dividends.

Power Construction Corp of China Ltd (601669.CG)

Q3 2026
▲2▼2

PowerChina's overseas order boom offsets shrinking domestic business and falling profit

  • Domestic orders keep shrinking New contracts fell 9.73% in the first half and 13% in the first seven months, with domestic orders down 22-24%. China is where most of PowerChina's business comes from, so a shrinking home market means less future revenue and weighs on the share price.

    This is the core demand problem driving the stock down.

  • Profit is falling, not just orders First-half net profit dropped 29.56% to 3.821 billion yuan, following declines in 2024 and 2025. Falling profit means the company earns less on the work it does, which directly undermines the value investors are willing to pay for the shares.

    Profit decline is the clearest negative force on the stock.

  • Overseas orders are the bright spot While domestic work shrinks, overseas contracts jumped 39% in the first half and 28.66% in the first seven months. New deals like the 8.925 billion yuan Iraq water project and 1.8 GW of wind projects in Egypt show foreign demand is growing and partly filling the gap.

    Overseas growth is the main positive counterweight to weak domestic demand.

  • Big new contracts keep coming in PowerChina signed the roughly 8.925 billion yuan Basra water conveyance subcontract in Iraq and is advancing over 1.8 GW of wind plus storage work in Egypt. These add to the order book and support future revenue, though they are small next to the domestic decline.

    New contract wins show the pipeline is still being replenished.

August 2026
▲2▼2

PowerChina's overseas order boom offsets shrinking domestic business and falling profit

  • Domestic orders keep shrinking New contracts fell 9.73% in the first half and 13% in the first seven months, with domestic orders down 22-24%. China is where most of PowerChina's business comes from, so a shrinking home market means less future revenue and weighs on the share price.

    This is the core demand problem driving the stock down.

  • Profit is falling, not just orders First-half net profit dropped 29.56% to 3.821 billion yuan, following declines in 2024 and 2025. Falling profit means the company earns less on the work it does, which directly undermines the value investors are willing to pay for the shares.

    Profit decline is the clearest negative force on the stock.

  • Overseas orders are the bright spot While domestic work shrinks, overseas contracts jumped 39% in the first half and 28.66% in the first seven months. New deals like the 8.925 billion yuan Iraq water project and 1.8 GW of wind projects in Egypt show foreign demand is growing and partly filling the gap.

    Overseas growth is the main positive counterweight to weak domestic demand.

  • Big new contracts keep coming in PowerChina signed the roughly 8.925 billion yuan Basra water conveyance subcontract in Iraq and is advancing over 1.8 GW of wind plus storage work in Egypt. These add to the order book and support future revenue, though they are small next to the domestic decline.

    New contract wins show the pipeline is still being replenished.

Latest
▲2▼2

PowerChina's overseas order boom offsets shrinking domestic business and falling profit

  • Domestic orders keep shrinking New contracts fell 9.73% in the first half and 13% in the first seven months, with domestic orders down 22-24%. China is where most of PowerChina's business comes from, so a shrinking home market means less future revenue and weighs on the share price.

    This is the core demand problem driving the stock down.

  • Profit is falling, not just orders First-half net profit dropped 29.56% to 3.821 billion yuan, following declines in 2024 and 2025. Falling profit means the company earns less on the work it does, which directly undermines the value investors are willing to pay for the shares.

    Profit decline is the clearest negative force on the stock.

  • Overseas orders are the bright spot While domestic work shrinks, overseas contracts jumped 39% in the first half and 28.66% in the first seven months. New deals like the 8.925 billion yuan Iraq water project and 1.8 GW of wind projects in Egypt show foreign demand is growing and partly filling the gap.

    Overseas growth is the main positive counterweight to weak domestic demand.

  • Big new contracts keep coming in PowerChina signed the roughly 8.925 billion yuan Basra water conveyance subcontract in Iraq and is advancing over 1.8 GW of wind plus storage work in Egypt. These add to the order book and support future revenue, though they are small next to the domestic decline.

    New contract wins show the pipeline is still being replenished.