The daily trading tide of “counting East and counting West” concept stocks is pushing the upsurge of “digital economy” to a new peak.
Under the catalysis of favorable policies and performance, “counting East and counting West” concept stocks have become one of the few explosive points in the recent market. A number of “triple board” stocks have emerged in the market, and Capitalonline Date Service Co.Ltd(300846) , Yimikang Tech.Group.Co.Ltd(300249) have increased by more than 70% for three days. A number of companies have stated that the “counting from the east to the west” project will bring golden development opportunities for the company and be conducive to future development. Tencent, Huawei and other giants have also said one after another that they have taken the lead in layout.
The take-off of individual stocks also led to the sharp rise of many index funds tracking cloud computing, CSI data and financial technology concepts, far ahead of ETFs in other industries. The full day turnover rate of etf2 in a big data industry was nearly 90% on January 21, and the trading was very active. At the same time, several funds that “bet” on recent changes in individual stocks also rose against the trend, becoming the “lucky man” of this wave of market.
When interpreting the policy, the fund manager said that “counting from the east to the west” is similar to “South-to-North Water Transfer”, “west to East power transmission” and other major projects to optimize industrial development by giving full play to regional and institutional advantages. Cloud computing, data center and other fields will be the primary beneficiaries, the demand for network security will continue to increase, and the fields of network security software, hardware and services will benefit.
the policy is favorable and catalytic, and the related concepts ETF soared
the daily trading tide of “counting East and counting West” concept stocks is pushing the upsurge of “digital economy” to a new peak.
On February 22, the concept stocks of “counting from the east to the west” broke out again against the background of the general decline of the market, Capitalonline Date Service Co.Ltd(300846) and Yimikang Tech.Group.Co.Ltd(300249) rose by 20% for three consecutive trading days, and many stocks such as Insigma Technology Co.Ltd(600797) , Guizhou Bc&Tv Information Network Co.Ltd(600996) , Mcc Meili Cloud Computing Industry Investment Co.Ltd(000815) , Beijing Transtrue Technology Inc(002771) also completed the feat of connecting the board. Affected by this, ETFs tracking cloud computing, China securities data and financial technology have also soared in recent days, Huabao big data industry etf21’s full day turnover rate was nearly 90%, and the trading was very active.
on the news, the national development and Reform Commission, the central network information office, the Ministry of industry and information technology and the National Energy Administration recently jointly issued documents, agreeing to start the construction of National Computing hub nodes in Beijing, Tianjin and Hebei, the Yangtze River Delta, Guangdong, Hong Kong, Macao, Dawan District, Chengdu and Chongqing, Inner Mongolia, Guizhou, Gansu and Ningxia, and planned 10 national data center clusters such as Zhangjiakou cluster. So far, the overall layout design of the national integrated big data center system has been completed. According to the research report, counting the East and the west is an important basis for China’s development of digital economy. It is predicted that the investment scale of 100 billion yuan per year may be driven in the next five years.
Funds with heavy positions in related stocks have also become “lucky” in this wave of market. For example, e Fonda CSI artificial intelligence ETF, which tracks the artificial intelligence theme index, even though the trend of heavyweights such as Hangzhou Hikvision Digital Technology Co.Ltd(002415) and Yonyou Network Technology Co.Ltd(600588) is stable or even slightly declining in recent days, under the leadership of two stock triple boards of Capitalonline Date Service Co.Ltd(300846) and Insigma Technology Co.Ltd(600797) with only 0.25% and 0.48% weight, The fund rose more than 4% in three days. In addition, Guangdong Aofei Data Technology Co.Ltd(300738) which has reached a new high in stock price in the past two years has also driven the rise of individual funds. According to the data of the fund’s 2021 fourth quarter report, there are five funds heavily holding this stock, of which the fund holding the largest number is Xiangcai Changshun hybrid sponsored a, holding 1312900 shares, Guangdong Aofei Data Technology Co.Ltd(300738) is its tenth largest heavily held stock. When other heavily held stocks of the fund have been calm in recent days, Guangdong Aofei Data Technology Co.Ltd(300738) continuous limit increases will make the fund rise more than 6% against the trend in two days.
the performance of many companies is “pre happy”
At the same time, the good fundamentals of sector companies are the core reason to support the rise of share prices in recent days. With the disclosure of 2021 annual performance forecast of listed companies, the performance of big data sector has been predicted one after another. As of February 22, 2022, 28 companies in ETF constituent stocks of big data industry have disclosed performance forecasts. Among them, the year-on-year growth rate of Merit Interactive Co.Ltd(300766) net profit attributable to parent company reached 52.82% ~ 66.71%, the year-on-year growth rate of Navinfo Co.Ltd(002405) net profit attributable to parent company reached 132.65% ~ 142.45%, and the year-on-year growth rate of Glodon Company Limited(002410) net profit attributable to parent company reached 96.74% ~ 111.87%.
In the long run, from January 1, 2013 to February 22, 2022, the cumulative return of CSI big data industry index was 227.99%, and the annualized rate of return was 14.32%. Compared with CSI 300 and CSI 500, the cumulative excess returns were 144.30% and 118.36% respectively, and the annualized excess returns were 7.23% and 5.62% respectively. At the same time, wind also timely launched the “East West calculation index” on the 18th of this month, which increased by 23.6% during the month
The “East number West calculation” project has brought new opportunities for relevant listed companies. In the announcement of stock price changes, the Capitalonline Date Service Co.Ltd(300846) of Sanlian board said that the golden development opportunities brought by the launch of the “East number West calculation” project, a national strategy for digital economy development planning and resource allocation in the era of digital economy, will be conducive to the future development of the company. In response to investors’ questions on the interactive platform, the company said that the company has nodes and 51 availability areas in 23 cities around the world to help enterprises expand their global business; As an important base of digital economy, IDC and cloud computing business of the company are developing rapidly under the great historical opportunity of the national launch of digital economy and the strategy of “counting from east to west”.
Focusing on Beijing Highlander Digital Technology Co.Ltd(300065) in the two major business areas of navigation intelligence and marine informatization, its Seabed Data Center (UDC) provides a solution to greatly reduce the energy consumption of “thermal data”. At present, the pue energy consumption value of the tester is only 1.078, which fully meets the requirement that the pue specified in the national strategy of “computing from east to west” shall not be higher than 1.25, the company said, At present, the construction of Hainan demonstration project has started in Offshore Oil Engineering Co.Ltd(600583) . Next, we will actively seize the historical opportunity to accelerate and implement the submarine data center project in Dawan District, Yangtze River Delta, Beijing Tianjin Hebei and other regions, so as to contribute to the national strategic project of “counting from the East to the west”.
Ucloud Technology Co.Ltd(688158) said that it will rely on two self built cloud computing centers to create a number of typical demonstration scenes and applications of “computing from the east to the west” to meet the needs of high-quality digital development of enterprises. In addition, many companies such as Eastone Century Technology Co.Ltd(300310) , Dr.Peng Telecom&Media Group Co.Ltd(600804) , Beijing Topnew Info&Tech Co.Ltd(300895) , Dhc Software Co.Ltd(002065) said on the interactive platform that they would actively layout and participate in projects related to East digital computing and West computing, and technology giants such as Huawei and Tencent have already invested a lot of money to take the lead in the layout.
which sectors will usher in investment opportunities?
The relevant person in charge of the national development and Reform Commission pointed out that a new round of scientific and technological revolution and industrial reform are reshaping the global economic structure.
As the core productivity of digital economy, computing power has become a new focus of global strategic competition. Up to now, the scale of China’s data center has reached 5 million standard racks, and the computing power has reached 130 eflops (130 billion floating-point operations per second). The demand for computing power of the whole society is expected to grow rapidly at a rate of more than 20% every year.
He Tianxiang, the fund manager of RONGTONG CSI cloud computing and big data theme index, believes that “east to West computing” guides the computing power of the east to the west, optimizes the layout and promotes the coordinated development of the East and the west by building a new national computing power system, which is similar to major projects such as “South-to-North Water Transfer” and “west to East power transmission”, and optimizes industrial development by giving full play to regional and institutional advantages. “This notice is a support for the implementation of the specific operation of the 14th five year plan for digital economy development. Cloud computing, data center and other fields will be the primary beneficiaries, the demand for network security will continue to increase, and the fields of network security software, hardware and services will benefit.”
Zheshang Securities Co.Ltd(601878) believes that the launch of “counting East and counting West” will drive the growth of IDC industrial chain. The basic principle of constructing the collaborative innovation system of national integrated big data center: the supply of data center and service resources is determined by the actual market demand. Focusing on the long-term goal of leading the development of global cloud computing, big data, artificial intelligence and blockchain, moderately advance the layout and reserve development space, which is expected to drive the growth of the number of new cabinets. At the same time, China will basically complete the wide coverage of 5g network in 2022, and the 5g user penetration is expected to reach 70%. The growth of 5g traffic and the outbreak of 5g applications such as XR and autopilot / Internet of vehicles are expected to further stimulate the demand of IDC, resonate with the “East digital West” project and improve the prosperity of IDC investment.
Capital Securities pointed out that the “digital computing in the East and digital computing in the west” project is the scope of new infrastructure. It needs to build a new data center, which needs many high-performance computing chips:
First, computing chips: the increase of data processing capacity is bound to reverse stimulate the data processing speed, and the demand for high-performance computing chips such as CPU and GPU is expected to continue to increase.
Second, memory chip: data storage is the basis of data transmission and processing. There is still much room for the development of memory chips in China. It is suggested to pay attention to the upstream and downstream industrial chain of memory chips.
Third, server chips and interface chips: hardware facilities are the basis of the computing network, and the construction of data center clusters is expected to promote the expansion and upgrading of servers and interfaces.
