Due to the geographic features and fruitful water resources, the distributed generation of Small Hydropower Generator Stack (SHGS) are vigorously developed in southwest China. As the more concerns about security and stability of power grids with the large amount of SHGS feed into the grid, the accurate models are critical to analyze those potential impacts. With the development of online monitoring technologies in smart grid, PMU based dynamic equivalent modeling for SHGS drawn many attentions. However, field applications reveal that traditional SHGS equivalent model may not be robustness enough to adapt the different disturbances. To overcome this deficiency, method to improve the robustness of SHGS dynamic equivalent modeling is proposed. In the paper, a coherency identification based multi-machine modeling method is introduced to enhance the accuracy of equivalent model. Sensitivity and correlation analysis based key parameters selection scheme is implemented to select the critical parameters, meanwhile avoiding the multiple solutions problem. Moreover, multi-objective optimization algorithm is designed for key parameters identification of the equivalent model. Additionally, hybrid dynamic simulation has adopted into the equivalent process to improve the computational efficiency. The effectiveness of the proposed method has been validated with an actual case from China Southwest grids.