Pay attention to the medium and long-term investment opportunities of industry leading stocks
By the end of January 2022, excluding the negative value, the TTM of the cultural media industry as a whole was about 20.16 times, about 162.06% higher than the valuation premium rate of CSI 300, and the absolute valuation and valuation premium rate decreased slightly. Based on the analysis of industry fundamentals and market sentiment, we believe that in the short term, although the performance of the industry has been repeatedly affected by the overall market, the industry fundamentals are in the bottom recovery range, the industry valuation center gradually rises with the benefits of yuancosmic and other topics, and there is a market for valuation repair of oversold low stocks, Therefore, it is suggested that investors pay attention to the valuation and repair market of leading stocks with excellent performance and growth, and choose leading companies with sustainable competitive advantages in the medium and long term.
Film market
In January 2022, the monthly ticket room was about 2.708 billion yuan, with a stable performance. The top three films in box office revenue were “hug you through the cold winter” of 665 million yuan, anti-corruption storm 5 of 481 million yuan and “Li Mao as Prince” of 462 million yuan. The overall box office was in a steady development trend. The films whose schedules have been determined in February 22 have good overall competitiveness. It is expected that the domestic films “Wen Ruyan, a product in ten years” and “I want to go to your world and love you” will have a certain box office influence and are expected to support the box office revenue in February.
TV dramas and online dramas
On January 31, 2022, the market share of “happy house”, “perfect partner” and “you in this life” on the TV station ranked the top three, and the top three on the network were “beginning”, “the world” and “twinkle and twinkle”.
Mobile Internet
(1) in September 2021, the number of mobile Internet users in China reached an all-time high of 1.169 billion, and the growth rate of users continued to decline, indicating that the number of mobile Internet users in China has tended to be stable.
(2) in terms of the dependence of active users in China’s mobile Internet primary industry, the dependence of Chinese residents on mobile Internet has maintained a steady upward trend. As of September 21, the per capita use time has reached 6.6 hours, and the monthly per capita number of times in a single day has reached 115.1, all of which have increased to varying degrees.
(3) in September 2021, life service, financial management and travel service are the industries with the most significant growth in user use scale, and the Internet has closer links to online and offline.
(4) in September, the overall traffic of Tencent, Alibaba and Baidu took the lead in the industry, and the follow-up momentum of byte beating was relatively rapid.
Investment advice
In January 2022, influenced by the market downturn, the cultural media industry fell deeply, the industry showed a general decline, and some low-level stocks took turns. Strategically, we believe that in February, we need to continue to pay attention to relevant companies with low valuations in the industry that are favored by the theme of yuancosmic. Some local governments have successively issued development support policies in yuancosmic. The layout of yuancosmic in various cities can not only enable the high-quality development of industrial manufacturing and other fields, but also accelerate 5g, data center The construction of digital infrastructure such as communication base stations and the development of new generation information technologies such as artificial intelligence, virtual reality, cloud computing, big data and blockchain. Therefore, we believe that there is a deep development space for local governments to stabilize economic growth, industrial upgrading and promote employment. It is expected that the rotation effect of meta universe theme on the industry will continue. To sum up, we continue to maintain the “optimistic” investment rating of the media industry and recommend Focus Media Information Technology Co.Ltd(002027) (002027), Bluefocus Intelligent Communications Group Co.Ltd(300058) (300058), Hubei Century Network Technology Inc(300494) (300494), Kunlun Tech Co.Ltd(300418) (300418), China Sports Industry Group Co.Ltd(600158) (600158).
Risk tips
The industry policy continues to be stricter, the industry development does not meet expectations, the industry competition continues to intensify, and the black swan incident continues to have an impact.
