Key investment points
Event: the CPPCC National Committee held a special consultation meeting on “promoting the sustainable and healthy development of digital economy” in Beijing on the 17th. Members believed that China’s position as a major developing country of digital economy is stable and has broad prospects for development in the future. We should continue to strengthen, optimize and expand the digital economy, make it better serve and integrate into the new development pattern, and promote high-quality development.
Promote the deep integration of digital economy and real economy and guide the digital transformation of small and medium-sized enterprises: the meeting pointed out that it is necessary to fully tap the development potential of industrial Internet and promote the new generation of information technology to endow intelligence to equipment, assign value to enterprises and empower industries. We should clarify the rights of data ownership, use right, operation right and income right, and build a safer and more efficient data element market. We should strengthen overall planning and coordination, innovate supervision methods, improve the digital economy governance system, and stimulate the innovation vitality of enterprises on the basis of ensuring the security of national networks and data. Increase direct government investment, improve the digital quality of the whole nation, and support digital enterprises to be listed on capital markets outside China.
Continue to be optimistic about the investment opportunities of relevant industrial chains of new infrastructure construction of Digital Economy: we believe that accelerating the construction of digital infrastructure is matched with strengthening, optimizing and expanding the digital economy. Communication hardware facilities will be the first to benefit from the development of digital economy, including server, optical module, switch, router and other market segments; Cloud computing, artificial intelligence, big data, Internet of things and other technologies will continue to develop with the rise of digital economy, and market demand is also the driving force of technology entry; The digital and intelligent construction of smart grid will coordinate the development of power generation, power supply, transportation and power consumption, improve efficiency and better help “carbon neutralization and carbon peak”.
It is suggested to pay attention to the investment object: Operator: China Mobile (covered), China Telecom Corporation Limited(601728) (covered) China United Network Communications Limited(600050) (covered); Main equipment supplier & Server: Zte Corporation(000063) (covered), Inspur Electronic Information Industry Co.Ltd(000977) , Unisplendour Corporation Limited(000938) , Fujian Star-Net Communication Co.Ltd(002396) ; Intelligent automobile: Meig Smart Technology Co.Ltd(002881) (covered), Dongguan Dingtong Precision Metal Co.Ltd(688668) , Electric Connector Technology Co.Ltd(300679) , etc; Optical module: Eoptolink Technology Inc.Ltd(300502) , Suzhou Tfc Optical Communication Co.Ltd(300394) (covered), Zhongji Innolight Co.Ltd(300308) (covered), Huagong Tech Company Limited(000988) (covered); IDC: Shenzhen Envicool Technology Co.Ltd(002837) (overwritten), Nanjing Canatal Data-Centre Environmental Tech Co.Ltd(603912) (overwritten) Guangdong Aofei Data Technology Co.Ltd(300738) , Shanghai Athub Co.Ltd(603881) . Cloud Computing & big data: Shenzhen Sed Industry Co.Ltd(000032) , Ucloud Technology Co.Ltd(688158) (covered) and other PCBs: Wus Printed Circuit (Kunshan) Co.Ltd(002463) , Shennan Circuits Co.Ltd(002916) , Shenzhen Fastprint Circuit Tech Co.Ltd(002436) (covered); AI: Hangzhou Hikvision Digital Technology Co.Ltd(002415) (covered), Zhejiang Dahua Technology Co.Ltd(002236) , Iflytek Co.Ltd(002230) (covered).
Risk warning: policy support is less than expected; Digital progress is less than expected.
