Talk every Monday:
Recently, the State Council issued the 14th five year plan for the development of digital economy to promote the healthy development of China’s digital economy. During the 13th Five Year Plan period, positive results have been achieved in the development of digital industrialization and industrial digitization. In 2020, the added value of China’s core industries of digital economy will account for 7.8% of China’s GDP. Build the world’s largest optical fiber network and 4G network, with more than 94% of optical fiber users, 108% of mobile broadband users and 460 million active IPv6 users.
During the “14th five year plan” period, the digital economy is moving towards a comprehensive expansion period, and the added value of the core industries of the digital economy accounts for 10% of GDP.
Accelerate the large-scale deployment of 5g network, and the gigabit optical network industry chain is expected to continue to benefit. 5g and F5G are developing together. The number of Gigabit broadband users will increase from 6.4 million in 2020 to 60 million in 2025, with an increase scale of nearly 8.3 times, and continue to promote the procurement of 5g main equipment, intelligent gateway, optical fiber and cable and other products.
We will accelerate the implementation of the project of “counting from the east to the west”, promote the coordinated development of cloud networks, and promote the construction of green digital centers. The continuous development of cloud computing benefits the upstream IDC and optical module. At the same time, under the background of carbon peak and carbon neutralization, the State supports the data center to adopt advanced energy-saving technologies such as precision air conditioning and liquid cooling to reduce relevant energy consumption, and the upstream refrigeration and temperature control industry is expected to continue to benefit.
Focus on strengthening the security system of digital economy, and network security manufacturers are expected to usher in rapid development. Network and data security is the top priority, support network security protection technology and product R & D and application, and promote the use of safe and reliable information products, services and solutions. We will accelerate the development of the network security industry system and promote the application of network security technologies such as pseudo defense and data encryption.
Market review:
This week (2022.01.10-2022.01.14), the Shanghai Composite Index, Shenzhen Component Index and gem index increased by – 1.63%, – 1.35% and 0.73% respectively, and the Shenwan communication index increased by – 1.39%, ranking 14th among Shenwan’s 28 primary industries. Performance of individual stocks in the communication sector this week:
The top five stock price increases are: Zhejiang Shengyang Science And Technology Co.Ltd(603703) , Tianjin Futong Information Science&Technology Co.Ltd(000836) , Raisecom Technology Co.Ltd(603803) , Hangzhou Freely Communication Co.Ltd(603602) , Sichuan Tianyi Comheart Telecom Co.Ltd(300504)
The top five stock price declines are st Keller, Leon Technology Co.Ltd(300603) , Eastcompeace Technology Co.Ltd(002017) , Shenzhen Neoway Technology Co.Ltd(688159) , Zhongji Innolight Co.Ltd(300308)
Investment strategy: (1) 5g network coverage continues to improve, the number of 5g base stations exceeds one million, and 5g equipment manufacturers are continuously recommended: Zte Corporation(000063) ; (2) The increase in the penetration rate of 5g package users drives the Arup value of operators. Operators give up the price war and improve user stickiness by providing more high-quality and differentiated services. It is suggested to pay attention to: China Mobile, China Telecom Corporation Limited(601728) , China United Network Communications Limited(600050) ; (3) The development of the Internet of things industry has entered the fast lane. It is recommended to focus on the investment opportunities of vehicle communication modules, and it is recommended to pay attention to Fibocom Wireless Inc(300638) , Quectel Wireless Solutions Co.Ltd(603236) ; (4) Under the background of double carbon, green energy conservation has become the main theme, and the precision temperature control faucet is recommended: Shenzhen Envicool Technology Co.Ltd(002837) .
Risk tip: the development of 5g is not as expected, the Sino US trade friction has further escalated, and the epidemic has further spread
