Genimous Technology Co.Ltd(000676) (000676)
Create a global mobile Internet traffic portal, and enable new businesses to blossom in multiple places through science and technology. In 2016, Genimous Technology Co.Ltd(000676) (hereinafter referred to as Genimous Technology Co.Ltd(000676) ) changed into a mobile Internet company with a trinity of mobile Internet traffic portal, traffic management platform and commercial realization channel by acquiring the equity of four companies.
Drive 1: Tamp the main core. In the first half of 2021, the company further optimized the business structure, reduced the effective marketing business with low gross profit in the digital marketing business, and steadily improved the overall profitability; Vigorously develop overseas Internet media business, SPE and CFIUS of the U.S. government have been reconciled, and the performance is expected to accelerate the release; It has become the exclusive advertising agent of Huawei Huawei's Huawei ads in the game, social and tool industries. Its excellent business ability has been verified and there is considerable room for realization.
Drive 2: strengthen new retail and private brand business. By combining product R & D, big data technology, AI algorithm and other technologies with media optimization experience and outstanding analysis ability, the company continuously studies and gradually applies them to various businesses, improves service efficiency and quality, reduces operating costs, creates differentiated competitive advantages, creates a perfect jewelry industry chain and incubates its own brands through carrying data advantages.
Drive 3: the golden race track of Karzai yuan universe has significant advantages. Hardware advantage: the "auditory organ" of the meta universe. The company directly holds 11.5% of the shares of Guoguang Electric Company Limited(002045) , which has produced acoustic modules in VR equipment for M company, an international top platform company, and is expected to become an important entrance for the application of meta universe industry. Software advantage: the "tonic stone" of the meta universe. The company's blockchain technology is an important infrastructure of metauniverse, which is used to ensure the security of users' digital assets and digital identity, carry out value transmission and incentive, create conditions for the generation and circulation of value in the economic system of metauniverse, and do a good job as a "safe scavenger" on the highway of industrial development of metauniverse. Relying on the first mover advantages and technical barriers in hardware and software, the company can quickly cut into the "meta universe" track, accelerate the commercialization process and continuously extend the application scenarios.
Investment suggestion: Genimous Technology Co.Ltd(000676) as a leading Internet marketing enterprise in China, it not only consolidates its main business, but also constantly expands its new business territory. By strengthening the combination of software and hardware with Guoguang Electric Company Limited(002045) , relying on the position and role of Guoguang Electric Company Limited(002045) in the VR equipment industry chain, and combined with the company's experience in game development, blockchain, brand marketing and other fields, the company has a strong competitive advantage in exploring the road of meta universe application. With the first mover advantages and technical barriers of hardware and software, the company can quickly cut into the "meta universe" track, accelerate the commercialization process and continuously extend the application scenarios, bringing incremental space for the company's products. We estimate that the company's revenue from 2021 to 2023 will be RMB 6.430/80.37/9.645 billion respectively, the net profit attributable to the parent company will be RMB 250/3.46/440 million respectively, the EPS will be RMB 0.20/0.27/0.35, and the corresponding PE will be 39 / 28 / 22x respectively. For the first time, give a "buy" rating.
Risk tip: improper control of epidemic situation outside China, economic downside risk and blocked new business development.
