\u3000\u3 China Vanke Co.Ltd(000002) 602 Zhejiang Century Huatong Group Co.Ltd(002602) )
Event:
On March 25, the company’s self-developed 3dmmorpg mobile game “Qingnian” was launched on the whole platform. So far, it has ranked first in the free list of IOS games and seventh in the best-selling list of IOS games (Qimai data).
Comments:
In the Chinese market, MMO is one of the most mature game categories. At the same time, it also faces the bottleneck of high homogeneity. Game companies mostly adopt the new playing method of big IP + minimally invasive, but this playing method is no longer tried by bailing. The key to winning MMO is gradually moving towards the diversification and differentiation of playing methods and themes. With the precise positioning of the new martial arts MMO, Qingnian has established another successful case of IP adapted mobile games.
Break through the traditional martial arts MMO framework, set the world outlook and integrate ancient and modern elements. The world outlook of the original novel “Qing Nian Nian” is set as an ancient society rebuilt after the destruction of modern civilization. The fusion elements of ancient and modern elements such as martial arts, conspiracy and light science fiction give the mobile game “Qing Nian Nian” greater imagination and creative space, and bring players a game experience that breaks through the traditional martial arts MMO framework in multiple dimensions such as plot experience, prop scene, picture sound effect, R & D and design.
Pay high attention to content and give consideration to IP fans and core MMO players. As an IP adapted MMO mobile game, “Celebrating more years” has invested much more time and energy than ordinary MMO mobile games, and produced a main plot that fits the original work and a plump three-dimensional character story line to meet the preferences of IP fans with in-depth content. The game core of Qing Nian Nian is still numerical growth, but the weapon system replaces the traditional sect or career setting, improves the degree of freedom of play, superimposes differentiated content, and innovates play methods, which can also delineate the core MMO players.
Publicizing and positioning “Celebrating more than 1.5 seasons” to truly realize the linkage of film and tourism. The launch of the mobile game “Qingnian” is between the first and second seasons of the TV series “Qingnian”. Shengqu game focuses on the concept of “Qingnian 1.5 season” in the publicity and distribution. Mobile games assume the dual functions of film and television drama plot undertaking and IP extension. Content marketing also focuses on content and plot. It will make full use of the IP potential of Qingnian to continue to attract players’ attention.
Investment suggestion: maintain the “Buy-A” rating. “Celebrating more years” performed brilliantly on the first day of its launch, and the follow-up flow is worth looking forward to. In 2022, the product schedule is full, and “legend” and “famine: a new home” are launched one after another. It is expected to increase the revenue and profit of the game business. It is estimated that the operating revenue of the company from 2021 to 2023 will be 13.78/20.95/25.56 billion yuan, the net profit attributable to the parent company will be 3.11/40.2/5.13 billion yuan, and the corresponding EPS will be 0.42/0.54/0.69 yuan. Considering the valuation premium of the company’s A-share game leader, the valuation of 18x PE in 2022 is given, corresponding to the 6-month target price of 9.72 yuan.
Risk tip: Xinyou online is not as expected; Policy supervision risk; Goodwill impairment risk
