Ten years ago, the top ten companies in the electronics industry were mainly module assembly
From the perspective of industrial chain distribution, among the top ten companies with market value ten years ago, the only core component manufacturers were Sanan Optoelectronics Co.Ltd(600703) LED chips. Non core components account for 90%, of which module & assembly accounts for 60%, terminal brands account for 20%, and a distribution channel accounts for 10%.
In 2022, semiconductors have accounted for more than half of the country
On January 1, 2022, among the top ten electronic companies with market value, there are 5 core component companies, accounting for 50%, and all the 5 core component companies are semiconductor companies. 3 modules & assemblies, accounting for 30%.
The total market value of the top ten increased by 14 times driven by performance
The growth of the electronic industry is real growth and value growth driven by performance. Over the past decade, the market value of the top ten companies increased by 1291% in total, and the growth of market value was mainly driven by performance (market value 14 times = performance 11.8 times? Valuation 1.2 times).
Semiconductor companies dominate the ten-year growth list
In the past ten years, there were nine semiconductor companies: Will Semiconductor Co.Ltd.Shanghai(603501) , Gigadevice Semiconductor (Beijing) Inc(603986) , Hangzhou Chang Chuan Technology Co.Ltd(300604) , Sg Micro Corp(300661) , Hunan Goke Microelectronics Co.Ltd(300672) , Luxshare Precision Industry Co.Ltd(002475) , Maxscend Microelectronics Company Limited(300782) , Starpower Semiconductor Ltd(603290) , Naura Technology Group Co.Ltd(002371) , Unigroup Guoxin Microelectronics Co.Ltd(002049) . It is enough to illustrate the importance of semiconductor based core components.
Companies that seize every technological change and expand their borders will continue to dominate the list
In the past ten years, many companies have made the top ten list in a flash in the pan. Because seize a technological change and achieve short-term success. It will also disappear because of missing a technological change. Only Hangzhou Hikvision Digital Technology Co.Ltd(002415) , Luxshare Precision Industry Co.Ltd(002475) , BOE and Sanan Optoelectronics Co.Ltd(600703) are listed every year. These companies are trying to expand their boundaries and seize the changes of the industry every time.
U.S. stock hard technology focuses on terminal brands and semiconductors
Among the top ten companies in the market value of hard technology in U.S. stocks, except Cisco, the other nine companies are semiconductor companies (apple is a semiconductor + terminal brand). With the development of A-share electronics industry, the top ten market capitalization companies in the future will also focus on semiconductor and terminal brands.
Ten years later, both ends of the industrial chain will continue to rise
The development of the industrial chain has its own sequence. Only by controlling the core components can we make our own brand. Now, the top ten market values of A-share electronics industry are mainly semiconductors. Looking forward to the future, the top ten market capitalization companies will continue to appear in semiconductors. In the further future, the number of terminal brand companies will increase.
Investment suggestion: look at semiconductors upstream and brands downstream
First, the semiconductor industry. Select the company from two indicators from a long-term perspective: one is the leader in subdivided fields. Second, the scale of this subdivided field is large. Sanan Optoelectronics Co.Ltd(600703) , Shanghai Anlogic Infotech Co.Ltd(688107) , Unigroup Guoxin Microelectronics Co.Ltd(002049) , Rockchip Electronics Co.Ltd(603893) , Starpower Semiconductor Ltd(603290) body, Hangzhou Silan Microelectronics Co.Ltd(600460) , Hubei Dinglong Co.Ltd(300054) , Naura Technology Group Co.Ltd(002371) , National Silicon Industry Group Co.Ltd(688126) , Huahong semiconductor, 3Peak Incorporated(688536) , Gigadevice Semiconductor (Beijing) Inc(603986) , Verisilicon Microelectronics (Shanghai) Co.Ltd(688521) are recommended. The second is the terminal brand company. At present, there are few terminal brand companies. It is recommended to pay attention to: Hangzhou Hikvision Digital Technology Co.Ltd(002415) , Xiaomi group, Shenzhen Transsion Holdings Co.Ltd(688036) .
Risk statement
1. The target company cannot seize every opportunity of technological change. 2. The semiconductor industry is restricted by the external environment and its development is less than expected. 3. International intelligent terminal brands seize the share of Chinese manufacturers.
