Investment summary:
Talk every Monday:
The Ministry of industry and information technology issued the statistical bulletin of the communication industry in 2021, and the telecom business income increased steadily and maintained a good trend.
In 2021, China Telecom Corporation Limited(601728) business revenue totaled 1.47 trillion yuan, an increase of 8.0% over the previous year, achieving a higher growth level in the eight years since 2014, with a growth rate of 4.1 percentage points higher than the previous year.
Cloud computing, big data and other businesses developed rapidly, and the revenue increased by 27.8% year-on-year; Data and Internet services played a stabilizing role, accounting for 61.5% of revenue and contributing 39.4% to the growth of Telecom Revenue. 5g network construction and coordinated development.
In 2021, the three major operators and China Tower completed a total of 405.8 billion yuan of fixed assets investment in telecommunications. 5g investment reached 184.9 billion yuan, accounting for 45.6% of the total investment, an increase of 8.9 percentage points over the previous year. The total number of mobile communication base stations in China reached 9.96 million, with a net increase of 650000 in the whole year. Among them, there are 5.9 million 4G base stations, 1.425 million 5g base stations and 650000 new 5g base stations throughout the year.
In 2021, the length of newly-built optical cable lines will be 3.19 million kilometers, the total length of national optical cable lines will reach 54.88 million kilometers, and the number of Internet broadband access ports will reach 1.018 billion, a net increase of 71.8 million over the end of last year. Among them, the number of optical fiber access ports reached 960 million, a net increase of 80.17 million over the end of the previous year, accounting for 94.3%. More than 300 cities across the country have started the construction of gigabit optical fiber broadband networks. By the end of 2021, 7.86 million 10gpon ports have been built, which has the ability to cover 300 million households.
The number of mobile users continued to increase, and mobile Internet traffic maintained rapid growth.
In 2021, the number of telephone users in China increased by 47.55 million, reaching 1.824 billion. Among them, the total number of mobile users was 1.643 billion, with a net increase of 48.75 million in the whole year, and the penetration rate was 116.3 units / 100 people. There are 1069 million 4G mobile users and 355 million 5g mobile users, accounting for 86.7% of the number of mobile users. The number of fixed line subscribers was 181 million, with a net decrease of 1.21 million in the whole year, and the penetration rate fell to 12.8 units / 100 people.
In 2021, mobile Internet access traffic reached 221.6 billion GB, a year-on-year increase of 33.9%. In the whole year, the average monthly traffic of mobile Internet reached 13.36gb/household * month, with a year-on-year increase of 29.2%; Among them, the mobile Internet traffic reached 212.5 billion GB, a year-on-year increase of 35.5%, accounting for 95.9% of the total mobile Internet traffic.
Market review:
This week (from January 24, 2022 to January 28, 2022), the Shanghai Composite Index, Shenzhen Component Index and gem index increased by – 4.57%, – 5% and – 4.14% respectively, and the Shenwan communication index increased by – 5.27%, ranking 17th among the 28 primary industries of Shenwan.
Performance of individual stocks in the communication sector this week:
The top five stock price increases are: Nova Technology Corporation Limited(300921) , Jiangsu Zhongtian Technology Co.Ltd(600522) , Hengbao Co.Ltd(002104) , Guangdong Shenglu Telecommunication Tech.Co.Ltd(002446) , Beijing E-Techstar Co.Ltd(300513)
The top five stock price declines are: Sunwave Communications Co.Ltd(002115) , Kaile Science And Technology Co.Ltd.Hubei(600260) , Wangsu Science & Technology Co.Ltd(300017) , Leon Technology Co.Ltd(300603) , Beijing Sinnet Technology Co.Ltd(300383)
Investment strategy: (1) 5g network coverage continues to improve, the number of 5g base stations exceeds one million, and 5g equipment manufacturers are continuously recommended: Zte Corporation(000063) ; (2) The increase in the penetration rate of 5g package users drives the Arup value of operators. Operators give up the price war and improve user stickiness by providing more high-quality and differentiated services. It is suggested to pay attention to: China Mobile; (3) The development of the Internet of things industry has entered the fast lane. It is recommended to focus on the investment opportunities of vehicle communication modules, and it is recommended to pay attention to Fibocom Wireless Inc(300638) , Quectel Wireless Solutions Co.Ltd(603236) ; (4) In the context of double carbon, green energy conservation has become the main theme, and the precision temperature control faucet is recommended: Shenzhen Envicool Technology Co.Ltd(002837) .
Risk tip: the development of 5g is not as expected, the trade friction between China and the United States has further escalated, and the epidemic has further spread.
