Core view
Industry highlights tracking: Huawei releases house wide intelligent solutions. On the one hand, Huawei’s whole house intelligence adopts PLC + wifi2 networks, which helps promote the promotion of PLC application and the acceleration of wifi6 application. It is recommended to pay attention to wifimcu manufacturers, such as [ Espressif Systems (Shanghai) Co.Ltd(688018) ]; On the other hand, Hongmeng ecology reflects the development trend of smart home interconnection, which helps to further improve the use experience of smart home and accelerate the development of home Internet of things. It is suggested to pay attention to the industrial chain of Internet of things, such as [ Quectel Wireless Solutions Co.Ltd(603236) ], [ Fibocom Wireless Inc(300638) ].
The Ministry of industry and information technology released the key points of automobile standardization in 2022, and the new three modernizations of automobiles continued to be promoted. The key points of automobile standardization in 2022 carry out standardization work in aspects such as power exchange system, automatic driving and vehicle networking, which is expected to accelerate the new three modernizations of automobiles. Based on the broad incremental market, dimensionality reduction and adaptation of technology, opportunities for the rise of domestic supply chain and other factors, connectors, controllers, modules, navigation terminals, optical devices, roadside facilities, automobile gateways, UWB, PCB, SOC and other communication industry chains enable the new three modernizations of automobiles. It is suggested to pay attention to “communication + automobile” [ Suzhou Recodeal Interconnect System Co.Ltd(688800) ], satellite inertial integrated navigation systems such as [ Shanghai Huace Navigation Technology Ltd(300627) ].
Industry key data tracking: 1) operator data: 5g penetration maintained growth in January 2022. As of January 2022, the total number of mobile services of the three operators was 1.655 billion, a net increase of 8.68 million compared with 2021. Among them, the total number of 5g users reached 760 million, a net increase of 28.3 million compared with 2021, and the penetration rate reached 45.8%; 2) 5g base stations: as of December 21, the total number of 5g base stations has reached 1425000; 3) Cloud computing and chip manufacturers: 21q3, bat capital expenditure totaled 25.663 billion yuan (year-on-year + 8%, month on month + 17%); In 21q4, the capital expenditure of the three major overseas cloud manufacturers and meta totaled US $36.553 billion (year-on-year + 26%, month on month + 11.8%). Xinhua’s revenue in February 2022 was NT $334 million (year-on-year + 32.5%, month on month – 13.6%); Intel dcg21q4’s revenue increased by + 20% year-on-year to US $7.3 billion; Amd computing and graphics 21q4 achieved a revenue of US $2.6 billion (year-on-year + 32%, month on month + 8%).
Market review: this week, the communication (Shenwan) index rose by 1.17%, and the Shanghai and Shenzhen 300 index rose by 2.18%. The performance of the sector is weaker than the market, with a relative return of – 1.01%, ranking 15th in the Shenwan industry. There are 126 companies in our communications stock pool, with an average rise or fall of – 1.59% this week.
Investment suggestion: grasp the callback opportunities of high-quality stocks and pay attention to the opportunities of Internet of things and cloud based construction. First, there are many catalysts for policy overweight, such as the Internet of things, Beidou and industrial Internet. Specifically, there are Internet of things modules (focusing on Quectel Wireless Solutions Co.Ltd(603236) , Fibocom Wireless Inc(300638) ), IOT chip ( Rockchip Electronics Co.Ltd(603893) ), industrial Internet gateway ( Beijing Inhand Networks Technology Co.Ltd(688080) ), Beidou application terminal ( Shanghai Huace Navigation Technology Ltd(300627) ). Second, the track combined with new energy and intelligent vehicles has high certainty and high valuation flexibility. Focus on “communication + energy” ( Jiangsu Zhongtian Technology Co.Ltd(600522) , Guangdong Shenling Environmental Systems Co.Ltd(301018) , Shenzhen Kstar Science & Technology Co.Ltd(002518) ) and “communication + automobile” ( Suzhou Recodeal Interconnect System Co.Ltd(688800) ).
The key recommended combinations in March 2022 are Quectel Wireless Solutions Co.Ltd(603236) , Yealink Network Technology Co.Ltd(300628) , Jiangsu Zhongtian Technology Co.Ltd(600522) , Guangdong Shenling Environmental Systems Co.Ltd(301018) , Shenzhen Kstar Science & Technology Co.Ltd(002518) , Suzhou Tfc Optical Communication Co.Ltd(300394) and Suzhou Recodeal Interconnect System Co.Ltd(688800) .
Risk tip: the global epidemic intensifies the risk, 5g investment and construction is less than expected, Sino US trade friction and other external environmental changes
