Review of market and sector trends: last week, the media sector index fell 0.09%, the Shanghai Composite Index fell 0.39%, the Shenzhen Component Index fell 1.06%, the gem index fell 4.00%, and the yuan universe index rose 1.27%. The top three sectors Rose: Hylink Digital Solution Co.Ltd(603825) (+ 22.26%), Beijing Enlight Media Co.Ltd(300251) (+ 13.18%), Visual China Group Co.Ltd(000681) (+ 11.95%); the top three sectors fell: H&R Century Union Corporation(000892) (- 12.50%), Beijing Hualubaina Film&Tv Co.Ltd(300291) (- 10.94%), Beijing Fengshangshiji Culture Media Co.Ltd(300860) (- 9.83%). Last week, the NASDAQ China technology stock index rose 0.83%. Last week, the Hang Seng China enterprise index fell 0.20%.
One week’s view: last week, yuancosmos continued to rise as a whole, [wind yuancosmos index] rose by 1.27%, and the plate’s rise was still dominated by yuancosmos related, but the internal trend of yuancosmos plate was divided, and some of the higher standards in the early stage, such as [huanrui, Fengshang] showed a correction. Last week, the Shanghai Municipal Economic company meeting pointed out that it is necessary to “guide enterprises to step up research on an important platform for the interaction between the virtual world and the real society in the future”. [ Visual China Group Co.Ltd(000681) ] launched the art digital collection platform.
In November, we began to focus on the huge increase of yuancosmic plate, combined with market sentiment and internal rotation; At the same time, at the end of the year, pay attention to the investment value of leading companies with supporting fundamentals and marginal improvement in the sector in 22 years, and pay attention to the catalysis of the Spring Festival for the film sector in the short term.
[Tencent] on December 23, it announced that it would distribute its JD shares to shareholders as a dividend in kind. The distribution totaled 457 million shares, equivalent to 14.7% of JD shares on December 21 and about 86.4% of class a ordinary shares of JD group held by Tencent. On that day, Tencent rose 4.24% and JD group SW fell 7.02%. We believe that Tencent’s dividend distribution in the reduction mode, on the one hand, better complies with the regulatory trends such as antitrust, on the other hand, is the release of income in Tencent’s investment field, reflecting Tencent’s investment value. For [JD], Tencent’s reduction brought a significant adjustment to JD’s share price on the same day, Meanwhile, Tencent held shares such as [meituan] – 1.65% and pinduoduo on the same day (- 1.25%) and others fell slightly, and the feedback was that the market was worried about the possible reduction in the subsequent secondary market caused by the distribution of physical dividends. Tencent said that it would continue to maintain its business relationship with JD in the future, pay attention to the progress of the 22-year cooperative relationship between the two sides, and pay attention to whether Tencent might reduce its holdings in other large shareholding platforms in the future.
At the regulatory level, [Weiya] was legally recovered for taxes totaling 1.341 billion yuan. Meanwhile, Weiya’s live studio is currently suspended. We believe that Weiya, as the head anchor of Amoy department, this punishment may have a certain impact on the direct broadcast traffic of Amoy department in the short term, but it may promote a more healthy and balanced ecology for the anchor, businesses, consumers and other parties in the long term. Tiktok is also concerned about short-term diversion, anchors tax related to Kwai Yin, fast hand and other direct broadcast business platform, MCN institutions and other industrial chain.
[Alibaba cloud] was suspended for six months because it failed to report the vulnerability of Apache log4j2 component in time. At present, the company says that Alibaba cloud has solved relevant technical problems and will not have a significant impact on the products developed by the company in China using Alibaba cloud. It pays attention to the progress of the restoration of the qualification of subsequent Alibaba cloud partners.
On December 24, the CSRC publicly solicited opinions on the measures for the administration of overseas securities issuance and listing filing of domestic enterprises (Draft for comments). The core factors of the short-term Internet sector are still under supervision. This opinion mainly focuses on the continuous improvement of overseas listing supervision. The CSRC also said that improving the Overseas Listing Supervision System of enterprises is not a tightening of overseas listing supervision policies.
Key tips: 1) key sub tracks, financial technology [Dongcai], etc; Scientific and technological innovation [Xiaomi, baidu (open directional public beta of yuancosmos platform “xirang”); online recruitment [boss direct employment], marginal improvement of real estate [shell], etc.
2) The game segment focuses on [Tencent, Netease, China Mobile Games, IgG, chizicheng technology, etc.], China [perfect (top 5 of magic tower bestseller list), Panax notoginseng, G-Bits Network Technology(Xiamen)Co.Ltd(603444) , Baotong, Caesar, giant, Fuchun, Yaoji, Huali], VR technology [Silk Road, Hengxin, Jiachuang], etc.
3) Film and television marginal changes, the Spring Festival is approaching and the pattern of long video platform is improving. The Spring Festival file focuses on [light], Wanda, China film, cat’s eye, etc; Long video platform members’ price increase [iqiyi, mango] is conducive to the improvement of the overall ARPU of the industry; TV dramas and artist brokers pay attention to [Huace, huanrui].
4) Generation Z and community maintain high growth and high stickiness. Pay attention to the community [BiliBili] [little red book] [Zhihu]; Tide play [bubble Mart] and [dream world, aofei, Zhejiang Jinke Tom Culture Industry Co.Ltd(300459) ]; Online music [Netease cloud music], etc.
5) Kwai tiktok and the industrial chain, the electronic business platform [Jingdong, many spells, Ali] and live platform [jitter, fast hand], industrial chain [ Saturday Co.Ltd(002291) , Yao Ji, gravity] and so on. Marketing technology [focus, blue label, vision (launching a visual art digital collection platform called “meta vision”), Huayang], etc.; byte benefit [ Three’S Company Media Group Co.Ltd(605168) , Zhewen Interactive Group Co.Ltd(600986) ], etc.; community retail [meituan, daily Youxian, dingdong], etc.; wechat ecological e-commerce SaaS [youzan, Weimeng].
Risk warning: epidemic impact, economic and political environment risk, stricter supervision, goodwill impairment risk
