Monternet Group (002123): 5G Circle Network
Leading domestic enterprise SMS industry, providing comprehensive information and communication service providers of Fuxin, Video Cloud and IOT Cloud.
The company started with enterprise SMS and is a leading company in this field in China.
By continuously strengthening technology research and development, the company provides Fuxin, video cloud and IoT cloud services respectively for mobile communications, video development and IoT terminals, gradually forming comprehensive information and communication services.
Fuxin is an upgraded version of SMS, which is also valuable compared to SMS. The company is expected to replicate the technical and channel advantages of corporate SMS.
Fuxin is the abbreviation of Rich Media Information, which is an upgraded version of ordinary SMS.
The company’s Fuxin 武汉夜网论坛 can be embedded in the user’s SMS application through the upgrade of the mobile terminal, or pre-installed in the SMS application of the mobile phone, and the content is sent to the mobile terminal through the push method.
From the perspective of the display form, Fuxin can display videos, pictures, and voice, which is valuable relative to SMS from a marketing perspective.
In addition, since Fuxin uses traffic as a carrier, its marginal cost is also reduced, and gross margin is converted into short messages.
Fuxin has huge potential.
With WeChat public account scoring, Fuxin has a unique advantage.
The WeChat public account is a closed operation, and only users can get the content inside.
In fact, the amount of information users accept is limited. When this limit is exceeded, users will cancel some other WeChat pushers.
Under the ranking, Fuxin is an open operation, which is actively pushed to users by enterprises, and there is no limit on the number.
At present, WeChat public accounts have appeared with an estimated hundreds of millions of US dollars of companies. In 2018, Hanye plans to purchase Quantum Cloud Technology for 3.8 billion shares.
Quantum Cloud participates in the operation of 981 WeChat public accounts and owns users 2.
400 million people, the average user price is 16 yuan.
As a reference at first, we believe that Fuxin is of great value.
Investment suggestion: The advent of the 5G era will bring lower traffic costs, which will drive the rapid growth of Fuxin’s business with traffic as its carrier. The reduction of costs will also cause Fuxin’s gross margin to replace corporate SMS.
The company’s EPS is expected to be 0 in 2018-2020.
10 yuan, 0.
62 yuan, 0.
87 yuan, maintain Buy-A rating, raise 12-month target price to 18.
6 yuan, corresponding to 30 times PE in 2019.
Risk warning: Fuxin’s promotion is less than expected; industry competition is intensifying.