Market review this week
This week, the Hang Seng Index rose 0.75%, the Hang Seng technology index rose 0.92%, the Dow Jones industrial index rose 1.08%, the NASDAQ index fell 0.05%, e-commerce continued to decline, and the Internet and education indexes rebounded. Among the key Internet stocks, hang Teng network (+ 30.21%), Xiamen Jihong Technology Co.Ltd(002803) (+ 9.83%) and hope Education (+ 5.80%) led the rise.
The Kwai tiktok and the US group have reached a strategic cooperation, and the “shake” test has been used to test the short video appreciation.
On December 28th, the Kwai Tong announced a strategic cooperation with the US mission. Customer service Kwai Kwai will open the platform to launch the US group small program on the fast track, providing the package service, voucher and after-sale service to the US business group.
In December 30th, jitter tiktok recently tested the “appreciation” function of short videos to help creators create content revenues. The amount of appreciation is divided into three grades: 6 coins, 16 coins and 66 coins. Tiktok also recently launched the “appreciation” function.
China Education Holdings and China Kepei released the annual report
On December 28, China Education Holdings released its annual report. As of August 31, 2021, the company’s operating revenue was 3.682 billion yuan (YoY + 37.49%), gross profit was 2.175 billion yuan (YoY + 35.85%), net profit was 1.472 billion yuan (YoY + 107.32%), and adjusted net interest rate was 42.8%.
On December 31, China Kepei released its annual report. As of August 31, 2021, the operating revenue was 1.12 billion yuan (YoY + 44.7%), the operating cost was 351 million yuan (YoY + 37.1%), the gross profit was 769 million yuan (YoY + 48.4%), the pre tax profit was 633 million yuan (YoY + 31.5%), and the core net interest rate was 658 million yuan (YoY + 31.6%).
Investment advice
This week, Shanghai released the 14th five year plan for the electronic information industry, which emphasizes strengthening the forward-looking research and development of the underlying technical capacity of the yuan universe. Virtual people or virtual idols were integrated in the new year’s concerts such as Jiangsu Satellite TV, Oriental satellite TV and BiliBili. At the same time, the virtual host Xiaoyang in Hello Saturday Co.Ltd(002291) of Hunan Satellite TV went online, and the yuan universe industry ushered in intensive catalysis, As an application with relatively mature technology, virtual human is accelerating its landing.
In addition, this week, we released the 2022 annual strategy report. Under the main theme of efficiency and fair supervision, Internet leading enterprises have achieved steady growth by virtue of refined operation capacity. Short video and games go to sea with user dividends, leading manufacturers have fully benefited, Chinese leading enterprises in the vertical field have accelerated their penetration, superimposed the acceleration of hard technology layout and the gradual implementation of meta universe, In 2022, the Internet sector is expected to gradually get out of the predicament. It is recommended that we should focus on -W, Tencent holdings, NetEase -S, Alibaba -SW, Kwai -W, Tong Dao hunting, etc.
Risk statement
Geopolitical conflict intensifies; Drastic changes in industry competition pattern; Anchor tax review; Long term suspension of game version number, etc
