Market Review
In the 16th week of 2022 (the actual trading day is 202204.18202204.22), the Shanghai stock index fell 3.87%, the Shanghai and Shenzhen 300 index fell 4.19% and the gem index fell 6.66%. The SW media index fell 5.36%, outperforming the gem index by 1.30pct, ranking 19th among the 28 industries in Shenwan level. Among the sub industries, radio and television, games and sports ranked among the top three, down 3.96%, 3.97% and 4.06% respectively.
Media industry data
As of April 22, 2022, the top three films in the cinema are “the marginal Walker”, “magical animals: the mystery of Dumbledore” and “the story of manslaughter hiding from heaven”; The top three webcast films are “miracle stupid child”, “super rescue of Wang Wang team’s great contribution” and “pleasant goat and grey wolf’s basket out of the future”; The top three film and television series are “hello to you”, “special war glory” and “dear child”; The top three in the variety show are “ace to ace Season 7”, “detective 7” and “new travels”; The top three of anime top are “peppa pig” and ” Perfect World Co.Ltd(002624) “. The top three best sellers of IOS games are “glory of the king”, “peace elite” and “original God”; The top three on the Android game hit list are “eye of deep space”, “glory of the king” and “original God”.
Core view
This week, the Ministry of industry and information technology held a press conference and announced that 134000 new 5g base stations were built in the first quarter, with a total of nearly 1.56 million 5g base stations opened. In the future, we will continue to promote the construction of digital infrastructure. It is planned to promote the construction of 6 Shenzhen Fountain Corporation(000005) g base stations throughout the year, and the coverage capacity of gigabit optical network exceeds 400 million households. Naifei released the first quarterly report of 2022. The number of paying users decreased against expectations. It will introduce a layered charging mode to provide a subscription mode including advertising and charge for shared accounts.
We believe that the construction of digital infrastructure is driven by favorable policies and is the cornerstone of the development of meta universe ecology and digital economy. Benefiting from the wave of one network integration in the radio and television industry, it will effectively promote the development of smart 5g related targets, and build a communication technology base for cloud games, ultra-high definition, artificial intelligence and other tracks; With upstream content copyright enterprises, hardware manufacturers and social giants entering the subscription streaming system, Naifei’s growth stall is constrained by its weak core barriers, the loss of authorized content and the establishment of its own platform by copyright giants, reflecting the improvement of the voice of upstream enterprises. Under the trend of “content is king”, it is recommended to pay attention to the relevant subjects holding high-quality film and television copyright.
Investment advice
We suggest that investors pay attention to the investment opportunities of the integration of radio and television first network, including Guizhou Bc&Tv Information Network Co.Ltd(600996) , Wasu Media Holding Co.Ltd(000156) , Gehua online, Oriental Pearl Group Co.Ltd(600637) , Jiangsu Broadcasting Cable Information Network Corporation Limited(600959) , etc; In the film sector, it is suggested to pay attention to the high-quality film and television copyright company Beijing Jetsen Technology Co.Ltd(300182) , whose digital cinema and new media copyright business directly benefit from the film “14th five year plan”; In the game sector, we recommend game R & D manufacturers Perfect World Co.Ltd(002624) , Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) , G-Bits Network Technology(Xiamen)Co.Ltd(603444) , Xinxin company, Kingnet Network Co.Ltd(002517) , which are in a reasonable range of valuation and have obtained the version number in April; The policy of zhonggai shares has been adjusted, and the beneficiaries include Tencent holdings, the industry leader with rapid growth of technical services and low valuation, and Tencent music, the leader of streaming media; In other sectors, it is recommended that the leading digital cultural and creative exhibition company Shanghai Fengyuzhu Culture Technology Co.Ltd(603466) benefiting from the “new cultural infrastructure” and the large-scale cultural and tourism performance program manufacturer Beijing Fengshangshiji Culture Media Co.Ltd(300860) , which is committed to building the output carrier of “cultural confidence”.
Risk tips
Regulatory policy uncertainty risk; Macroeconomic downside risks.
