We Initiate Coverage of CSI Solar With a No-Moat Rating and CNY 17.70 Fair Value Estimate

CSI Solar is a leading Chinese solar module producer, ranking sixth in global module shipments in 2023. Known for its extensive overseas exposure, particularly to the profitable US market, CSI generated 77% of its revenue from international markets in the first half of 2024, the highest among its Chinese peers. The US is the largest overseas market for CSI, accounting for 29% of its solar module shipments in the first nine months of 2024, with an estimated market share of over 20%.