\u3000\u3000 Hylink Digital Solution Co.Ltd(603825) (603825)
Event: on January 15, 2022, Hylink Digital Solution Co.Ltd(603825) signed a strategic cooperation agreement with Shanghai Genmai Network Technology Co., Ltd. and joy Entertainment (Hangzhou) Co., Ltd., and the three parties intend to establish a joint venture ( Hylink Digital Solution Co.Ltd(603825) plans to hold 40%, Genmai technology plans to hold 30% and joy Entertainment plans to hold 30%) to explore the production and construction of meta universe digital content, Inject new impetus into the business era of digital transformation, and make a contribution to promoting the development of digital industry in key areas and standardizing the development of digital economy.
Investment highlights:
The digital economy welcomes the east wind of the policy, and the yuan universe industry has accelerated its landing. On January 12, the State Council officially issued the "14th five year plan" for the development of digital economy, proposing that by 2025, the digital economy will move towards a period of comprehensive expansion, the added value of core industries of digital economy will account for 10% of GDP, and the scale of software and information technology service industry will reach 14 trillion yuan; The second issue of Qiushi magazine, published on January 16, published an important article "constantly strengthening, optimizing and expanding China's digital economy". The article pointed out that we should strengthen the tackling of key core technologies, accelerate the construction of new infrastructure, promote the integrated development of digital economy and real economy, promote the development of digital industry in key areas, standardize the development of digital economy and improve the governance system of digital economy, Actively participate in international cooperation in digital economy.
The three parties complement each other's advantages and work together to create a new ecosystem of meta universe digital commerce. Hylink Digital Solution Co.Ltd(603825) plans to establish a joint venture with burning wheat technology and joy entertainment, Hylink Digital Solution Co.Ltd(603825) as the exclusive provider of official communication agency services for the 2022 Winter Olympic Games and winter Paralympic Games, it has solid customers, media resources and big data technology, integrates the advantages of all parties, and provides support for the commercial realization operation of digital virtual IP of the joint venture; Burning wheat technology will make every effort to provide technical support for the production of digital virtual IP of the joint venture, and jointly explore the resource authorization of existing digital virtual IP; Joy entertainment will be responsible for the development and optimization of engine technology, and develop more film and television content and commercial applications for virtual IP.
The digital human industry has entered an accelerated period, and the traffic password of the meta universe era. Virtual digital human exists in digital form. It has human appearance, characteristics and behavior. It depends on the virtual image displayed by science and technology. It is a necessary embodiment to enter the digital world. With the development of the meta universe industry, the applications of digital employees, virtual idols, virtual spokesmen and virtual anchors in the fields of fashion, sports, video and entertainment began to emerge and explore a new business model. The in-depth industry report of virtual digital human predicts that the overall market scale of China's virtual digital human will reach 270 billion yuan by 2030, ushering in a broad application space.
Profit forecast and investment rating: it is estimated that the net profit attributable to the parent company in 21-23 years will be RMB 281 / 519 / 677 million respectively, EPS will be RMB 1.11/2.05/2.67 respectively, and the corresponding PE will be 25 / 14 / 10 times respectively, maintaining the "buy" rating.
Risk tips: macroeconomic downturn, repeated epidemics, intensified industry competition, and new businesses are not as expected
