Market Review
In the ninth week of 2022 (202202.28202203.4), the Shanghai stock index fell 0.11%, the Shanghai and Shenzhen 300 index fell 1.68% and the gem index fell 3.75%. SW media index fell 0.39%, outperforming the gem index by 3.36pct, ranking 14th among the 28 industries in Shenwan level. Among the sub industries, games, film and television and publishing ranked among the top three, accounting for 1.23%, 1.18% and 1.06% respectively.
Media industry data
As of March 4, 2022, the top three cinema films are “shuimen bridge of Changjin Lake”, “the killer is not too calm” and “miracle stupid child”; The top three of the webcast movies are “The Heaven Sword and Dragon Saber’s Joyoung magic”, “Chang Jin Hu” and “Prince Li Maoban”; The top three film and television series are “the world”, “Shangshi” and “meet in season”; The top three in the variety show are “detective 7”, “ace to ace Season 7” and “semi familiar lovers”; The top three of animated cartoon are “the complete works of piggy page”, “the continent of daros” and “the master of Wu Shen”. The top three best sellers of IOS games are “glory of the king”, “peace elite” and “dream journey to the west”; The top three Android game hits are glory of the king, original God and tararia.
Core view
This week, the government work report was released, which proposed to guide large platform enterprises to reduce charges and reduce the burden on small and medium-sized merchants. Meituan, hungry, Tencent and other platform enterprises have responded successively and introduced cost reduction, fee reduction and other measures; The report also proposes to promote the development of digital economy and promote the large-scale application of 5g. According to the data of the Ministry of industry and information technology, at present, the coverage of 5g network is the world leader, and the number of 5g mobile terminal connections has reached 520 million.
We believe that lowering the service fee standard of Internet platform is a phased policy for areas with serious epidemic. At present, the corresponding measures launched by the platform are mainly aimed at areas with medium and high risk of epidemic and businesses with business difficulties, which will not have much impact on the fundamentals in the long run; The digital economy policy has been favorable before. With the continuous promotion of 5g infrastructure, the acceleration of one network integration and the implementation of the East digital West computing project, investors are advised to pay attention to the high-quality targets of radio and television, ultra-high definition video, VR / AR, cloud games and other related formats.
Investment advice
We continue to pay attention to the game sector and recommend head game R & D manufacturers with low valuation, Perfect World Co.Ltd(002624) , Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) ; In the new media sector, we strongly recommend the state-owned new media platform operation company Mango Excellent Media Co.Ltd(300413) , which is backed by Hunan Taiwan high-quality content production platform, has high performance growth and continues to benefit from the dividends of media integration reform; In the film sector, it is suggested to pay attention to the investment opportunities promoted by the introduction of the 14th five year plan, and Beijing Jetsen Technology Co.Ltd(300182) ‘s digital cinema and new media copyright business will benefit directly; In other sectors, it is recommended that the leading digital cultural and creative exhibition company Shanghai Fengyuzhu Culture Technology Co.Ltd(603466) benefiting from the “cultural foundation” and the large-scale cultural and tourism performance program manufacturer Beijing Fengshangshiji Culture Media Co.Ltd(300860) , which is committed to building the output carrier of “cultural confidence”.
Risk tips
Regulatory policy uncertainty risk; Macroeconomic downside risks.
