Key investment points:
Market review and Valuation: Shenwan computer sector fell 2.85% this week (02 / 28-03 / 04), 1.17 percentage points lower than Shanghai and Shenzhen 300 index, ranking 27th in Shenwan industry; Shenwan computer sector fell 3.18% in March, 1.32 percentage points lower than the CSI 300 index, ranking 27th in Shenwan industry; Shenwan computer sector fell 9.07% this year, 0.09 percentage points lower than the Shanghai and Shenzhen 300 index, ranking 19th in Shenwan industry. In terms of valuation, as of March 4, the pettm of SW computer sector was 47.02 times, at the quantile of 10.20% in recent five years and 22.07% in recent 10 years.
Industry news: 1. The state Internet Information Office solicited public opinions on the regulations on the administration of Internet pop-up information push service (Draft for comments). 2. Zhang Yunming, Vice Minister of industry and information technology, recently attended and delivered a speech at the 2022 China Internet Development Forum. Emphasize the in-depth implementation of the industrial Internet innovation and development project, actively explore 5g application innovation, and promote the deep integration of new generation information and communication technology and green and low-carbon industries. 3. Baidu released its unaudited financial reports for the fourth quarter and the whole year ended December 31, 2021. 4. It was learned from Microsoft that since March 1, 2022, the new azure data center area in China has been officially opened, and customers can access it without restrictions.
Zhou viewpoint: this year’s government work report mentioned many contents related to scientific and technological innovation, including proposing the implementation of the ten-year plan for basic research and the three-year plan for the reform of the scientific and technological system, and supporting all localities to increase investment in science and technology; We will increase incentives for enterprise innovation and increase the proportion of R & D expenses plus deduction of science and technology-based small and medium-sized enterprises from 75% to 100%. At the same time, the government work report deeply interprets the digital economy and proposes to build digital information infrastructure, promote 5g large-scale application and promote industrial digital transformation; Accelerate the development of industrial Internet, cultivate and expand digital industries such as integrated circuits and artificial intelligence, and improve the innovation and supply capacity of key software and hardware technologies; Improve digital economic governance. In addition, network security / data security and the full implementation of the stock issuance registration system were also highlighted. Combined with the relevant documents intensively issued recently to support the development of the industry and the expression of scientific and technological innovation in the government work report, we believe that the importance of developing the digital economy will be further highlighted and is expected to become one of the important driving forces for steady growth this year. It is suggested that investors seize the opportunity of China’s digital transformation, focus on the “hardware and software” base, and focus on data elements, data security, data governance and other fields. Suggestions on the subject matter: securities asset management it: Hundsun Technologies Inc(600570) ( Hundsun Technologies Inc(600570) ), etc. Cloud Computing: Yonyou Network Technology Co.Ltd(600588) ( Yonyou Network Technology Co.Ltd(600588) ), Inspur Electronic Information Industry Co.Ltd(000977) ( Inspur Electronic Information Industry Co.Ltd(000977) ), Shanghai Baosight Software Co.Ltd(600845) ( Shanghai Baosight Software Co.Ltd(600845) ), Glodon Company Limited(002410) ( Glodon Company Limited(002410) ), etc. Xinchuang: Dawning Information Industry Co.Ltd(603019) ( Dawning Information Industry Co.Ltd(603019) ), China Greatwall Technology Group Co.Ltd(000066) ( China Greatwall Technology Group Co.Ltd(000066) ), China National Software And Service Company Limited(600536) ( China National Software And Service Company Limited(600536) ), etc. Network security: Venustech Group Inc(002439) ( Venustech Group Inc(002439) ), Qi An Xin Technology Group Inc(688561) -u ( Qi An Xin Technology Group Inc(688561) ), Nsfocus Technologies Group Co.Ltd(300369) ( Nsfocus Technologies Group Co.Ltd(300369) ), etc. Artificial intelligence: Iflytek Co.Ltd(002230) ( Iflytek Co.Ltd(002230) ), Zhejiang Dahua Technology Co.Ltd(002236) ( Zhejiang Dahua Technology Co.Ltd(002236) ), Hangzhou Hikvision Digital Technology Co.Ltd(002415) ( Hangzhou Hikvision Digital Technology Co.Ltd(002415) ), etc. Intelligent automobile: Thunder Software Technology Co.Ltd(300496) ( Thunder Software Technology Co.Ltd(300496) ), Huizhou Desay Sv Automotive Co.Ltd(002920) ( Huizhou Desay Sv Automotive Co.Ltd(002920) ), etc.
Risk tips: policy changes; Macroeconomic fluctuations affect the demand for downstream products; Technology advancement is less than expected; Intensified industry competition, etc.
