Investment summary:
Event: since March 4, the two sessions of the National People’s Congress have been held successively. On the morning of March 5, Premier Li Keqiang delivered the 2022 government work report (hereinafter referred to as the report) to the fifth session of the 13th National People’s Congress on behalf of the State Council.
The report defines the key construction direction of the country in 2022.
The report provides large tax relief for science and technology related enterprises to reduce the cash flow pressure of related enterprises. This year, large-scale tax rebates will be implemented for the retained tax in advance, focusing on solving the problems of retained tax rebates in manufacturing, scientific and technological research and technical services, ecological and environmental protection, electric power and gas, transportation and other industries. In addition, we will strengthen the implementation of the policy of adding and deducting R & D expenses, increase the proportion of adding and deducting scientific and technological small and medium-sized enterprises from 75% to 100%, implement tax incentives for enterprises to invest in basic research, improve policies such as accelerated depreciation of equipment and instruments and preferential income tax for high-tech enterprises,
The report defines the long-term support for scientific and technological innovation enterprises. Implement the ten-year plan for basic research and strengthen long-term stability support; Implement the three-year plan for tackling key problems in the reform of the scientific and technological system, strengthen the national strategic scientific and technological force, and give full play to the role of the National Laboratory and the National Key Laboratory; Promote international scientific and technological cooperation; Strengthen the incentive for enterprise innovation, strengthen the dominant position of enterprise innovation, continue to promote key core technology research, and deepen the combination of industry, University, research and application; Strengthen the protection and application of intellectual property rights, promote the development of venture capital, innovate scientific and technological financial products and services, and improve the specialization of scientific and technological intermediary services. We should implement all kinds of innovation incentive policies to promote enterprises to increase R & D investment and cultivate new drivers of growth.
The report defines the theme of digital economy, strengthens the overall layout of Digital China Construction and promotes the development of digital economy. The report proposes to build digital information infrastructure, promote 5g large-scale application, promote industrial digital transformation, and develop smart cities and digital villages; 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; Innovate and develop service trade and digital trade, and promote the implementation of the negative list of cross-border services; Develop digital villages, strengthen the construction of County commercial system, and develop rural e-commerce and logistics express distribution; Promote the construction of national security system and capacity, and strengthen network security, data security and personal information maintenance. Improve the governance of digital economy, release the potential of data elements, and better enable economic development and enrich people’s lives.
The report sets out the specific implementation direction of fiscal expenditure in the short term. The fiscal deficit ratio has been lowered, but the scale of fiscal expenditure has expanded by more than 2 trillion yuan over last year, and the available financial resources have increased significantly. The newly increased financial resources should be sunk at the grass-roots level, which are mainly used to implement the policies of assisting enterprises in poverty relief, stabilizing employment and ensuring people’s livelihood, promote consumption and expand demand, moderately advance infrastructure investment, support all localities to increase investment in science and technology, and carry out regional innovation with distinctive patterns.
Market review:
The performance of the computer industry decreased slightly last week. 2.28-3.4 the computer sector fell by nearly 2.85%.
The top ten gains in the computer sector spread to companies related to network security, bank it and e-government. Among the top ten stocks that rose in the computer sector last week, the popularity of “counting from the east to the west” was reduced. In addition, affected by the Russian Ukrainian war, stocks related to network security, bank it, e-government and military it rose significantly last week.
Investment strategy: Investment Strategy: Investment Strategy: Investment Strategy: combining recent policy and the report, we believe that the hardware infrastructure of the computer sector is expected to be able to sustain the momentum of the policy in the light of the recent policy and the report. Short term recommendations are IDC ( Beijing Zhong Ke San Huan High-Tech Co.Ltd(000970) 00977 \\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\), smart city ( Hangzhou Hikvision Digital Technology Co.Ltd(002415) ) Power informatization ( Longshine Technology Group Co.Ltd(300682) , State Grid Information&Communication Co.Ltd(600131) ), intelligent vehicle ( Thunder Software Technology Co.Ltd(300496) ), AI ( Iflytek Co.Ltd(002230) ), and focus on the subject of excellent performance ( Beijing United Information Technology Co.Ltd(603613) ) or potential performance reversal ( Hand Enterprise Solutions Co.Ltd(300170) ).
Risk tips: market sentiment risk, policy landing less than expected, technology and actual construction landing less than expected, downstream demand risk, etc.
