CGS International
Report Date: September 4, 2025
Sunpower Group Ltd Ignites Bullish Momentum as Asia’s Bond Markets Face Turbulence: In-Depth Technical and Fundamental Review
Market Overview: Rising Yields and Political Uncertainty Shape Bond Markets
Global bond markets have entered a period of turbulence, with Japan’s super-long government bonds at the epicenter. Yields on Japanese 30-year and 40-year bonds surged to multi-decade highs, hitting 3.285% and 3.535% respectively, as investors react to concerns over global fiscal policies, increased government spending, inflation, and mounting political uncertainty in Japan. The 20-year yield also climbed to levels unseen since 1999. Steepening pressures are further exacerbated by caution around upcoming bond auctions and leadership uncertainty within Japan’s ruling party. These moves mirror similar sell-offs in US and European bonds, where the 30-year US Treasury yield approached 5%.
China’s 1H25 Earnings: Tech Advancements Offset Competitive Pressures
Hang Seng’s first-half 2025 earnings took a hit, driven primarily by fierce competition, especially within food delivery, as subsidy wars intensified. The downward revision in earnings has led consensus forecasts to predict negative earnings growth for Hang Seng in 2025. However, the report highlights compelling evidence that artificial intelligence (AI) and related technological advancements continue to be value drivers for Chinese tech companies. Addressing “involution”-style hyper-competition is deemed essential for sustainable, compounded growth in Chinese equities.
Technical Spotlight: Sunpower Group Ltd – Bullish Reversal in Early Stages
Company Overview
Sunpower Group Ltd is a comprehensive provider of energy conservation, waste-to-energy, and renewable energy solutions. The company specializes in the design, research & development, and manufacture of energy conservation products in China, offering environmental equipment, EPC (Engineering, Procurement, Construction) integrated solutions, and green investments through BOT/TOT/BOO models.
Latest Price Action and Technical Analysis
| Price/Level |
Value (SGD) |
| Last Price |
0.420 |
| Entry Price(s) |
0.420, 0.380, 0.300 |
| Support 1 |
0.380 |
| Support 2 |
0.305 |
| Stop Loss |
0.240 |
| Resistance 1 |
0.450 |
| Resistance 2 |
0.660 |
| Target Price 1 |
0.630 |
| Target Price 2 |
0.700 |
| Target Price 3 |
0.800 |
| Target Price 4 |
0.880 |
Technical Highlights for Sunpower Group Ltd
The bullish trend for Sunpower Group is confirmed, with a strong price reversal signaled after breaking above the critical S$0.380 resistance, now acting as support.
The Ichimoku Cloud indicator reinforces the bullish outlook, with all components rising in tandem.
MACD signals are positive, with both the MACD and signal lines trending strongly above zero, and the histogram also indicating bullish momentum.
The Stochastic Oscillator, while currently in overbought territory, has seen only mild correction, which is deemed to have completed a three-wave structure.
The 23-period Rate of Change (ROC) remains positive, further supporting upward momentum.
Directional Movement Index (DMI) readings consistently show bullish strength.
Trading volumes have expanded healthily, supporting the sustainability of the uptrend.
Key Takeaways for Investors
- Sunpower Group Ltd is in the early stages of a bullish trend, with multiple technical indicators aligning to suggest further upside.
- Entry points are identified at S\$0.420, S\$0.380, and S\$0.300, with a recommended stop loss at S\$0.240.
- Initial resistance levels are set at S\$0.450 and S\$0.660, with ambitious target prices up to S\$0.880 for longer-term investors.
- Market conditions in Japan and China remain volatile, with macroeconomic and political factors driving key moves in bond and equity markets.
- Chinese tech stocks remain attractive from a technological advancement perspective, but require a shift away from destructive, involution-style competition for earnings to compound sustainably.
Detailed Company Description: Sunpower Group Ltd
Sunpower Group Limited is positioned as a one-stop provider for energy conservation, waste-to-energy, and renewable energy solutions. Its portfolio encompasses environmental equipment manufacturing, EPC integrated project solutions, and green investments utilizing build-operate-transfer, build-own-operate, and transfer-operate-transfer models. This diversified approach allows Sunpower Group to tap into key growth areas within China’s evolving energy landscape.
Broker’s Ratings and Definitions
| Stock Rating |
Definition |
| Add |
Total return expected to exceed 10% over the next 12 months |
| Hold |
Total return expected to be 0% to +10% over the next 12 months |
| Reduce |
Total return expected to be below 0% over the next 12 months |
Stock Ratings Distribution (as of June 30, 2025)
| Rating |
% of Coverage |
Investment Banking Clients (%) |
| Add |
70.6% |
1.1% |
| Hold |
20.5% |
0.5% |
| Reduce |
8.9% |
0.5% |
Conclusion: Sunpower Group Ltd Set for Sustained Upside Amid Macro Volatility
Sunpower Group Ltd stands out with a robust technical setup signaling a bullish trend still in its early stages. Backed by expanding volume and supportive technical indicators, the company is well-positioned to benefit from macro trends in energy conservation and renewables within China. Investors should monitor both entry and resistance levels closely, while also keeping an eye on broader market dynamics shaped by fiscal policies and competition trends across Asia.
For investors seeking exposure to the energy transition and resilient technical plays, Sunpower Group Ltd offers a compelling opportunity as highlighted in this comprehensive analysis from CGS International.
