Market Review
In the 20th week of 2022 (the actual trading day is 202205.16202205.20), the Shanghai stock index rose 2.02%, the Shanghai and Shenzhen 300 index rose 2.23% and the gem index rose 2.51%. The SW media index rose 1.87%, underperforming the gem index by 0.64pct, ranking 16th among the 28 industries in Shenwan level. Among the sub industries, advertising and marketing, film and television and sports ranked among the top three, up 4.04%, 3.53% and 2.57% respectively.
Media industry data
As of May 20, 2022, the top three cinema films are "I want us together", "bad guys alliance" and "I really hate long distance love"; The top three webcast films are "miracle stupid child", "green face Shura" and "shuimen bridge of Changjin Lake"; The top three film and television series are "and try the world", "lady's law" and "appointment of a new house"; The top three in the variety show are "sound keeps alive", "ace to ace Season 7" and "I like you, too, season 3"; The top three animation titles are "complete works of Peppa Pig", "Douluo land" and "master of martial arts"; The top three best sellers of IOS games are "endless Lagrange", "glory of the king" and "100 ways to cut grass"; The top three Android game hits are glory of the king, original God and tomorrow's Ark.
Core view
Recently, the Symposium on "promoting the sustained and healthy development of the digital economy" was held in Beijing, emphasizing the continuous strengthening, optimization and expansion of the digital economy, supporting the sustained and healthy development of the platform economy and the private economy, and supporting the listing of digital enterprises in the capital markets outside China; On the 18th, the Symposium on stabilizing growth, stabilizing market players and ensuring employment was held in Yunnan. It was further proposed to ensure employment and people's livelihood through stabilizing market players, and support the legal compliance of platform economy and digital economy, listing and financing at home and abroad.
We believe that the rectification of key areas of the platform economy has been basically completed. With the continuous improvement of laws, regulations and regulatory mechanisms, platform enterprises actively carry out self-examination and fulfill social responsibilities, the supervision of Internet enterprises will enter the normalization stage, and the industry will usher in the continuous repair of performance and valuation, so as to achieve standardized and healthy development. The policy will continue to support the listing and financing of platform enterprises, and the supervision will still actively mediate the audit of zhonggai shares. The policies in the field of digital economy will continue to be favorable, and the subdivided fields will usher in more guidelines, rules and support measures. We are optimistic about the follow-up development of relevant formats.
Investment advice
We continue to pay attention to the game sector. With the full access of the anti addiction system and the restart of the release of the version number, we recommend the original high-quality game developer Perfect World Co.Ltd(002624) , which is going to the sea and actively transforming. At the same time, we recommend the game developer Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) , whose valuation is within a reasonable range and whose products have obtained the version number. The beneficiaries include game companies Netease, G-Bits Network Technology(Xiamen)Co.Ltd(603444) , Xinxin company, Kingnet Network Co.Ltd(002517) ; The economic supervision of the platform is normalized. It is recommended to focus on the growth momentum and switch to Tencent holdings, an industry leader with low valuation and technical services. The beneficiaries include meituan, a local living platform, and Tencent music, a leader in streaming media; We are optimistic about the investment opportunities related to radio and television 5g in the process of integration of one 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 benefited from the film "14th five year plan", and the performance of the first quarter increased by nearly 200%; In other sectors, it is recommended that Shanghai Fengyuzhu Culture Technology Co.Ltd(603466) , a leading company of digital cultural and creative exhibition benefiting from the "new cultural infrastructure", and Zhewen Interactive Group Co.Ltd(600986) , a digital marketing company of state-owned assets holding, which continues to promote fixed growth and continue to explore innovative tracks.
Risk tips
Regulatory policy uncertainty risk; Macroeconomic downside risks.
