Main points of investment
The company has the advantage of deep media integration, and the organizational structure is adjusted to achieve business coordination. The company has a unique Internet state-owned enterprise gene, the risk of policy grasp and capital investment is less than other platforms, and the development model is more sustainable; the organizational structure optimization and adjustment focuses on monsoon theater self-control, variety content innovation and live entertainment operation business; the company is in the stage of business transformation and adjustment, with steady growth in the core business dominated by advertising and members.
The online video industry has entered the stock stage, and the price increase cycle promotes the improvement of the profitability of the industry. The growth rate of mobile Internet users has slowed down, the proportion of time in each track tends to be stable, and Mango is in the forefront of the industry in terms of per capita usage time and user scale growth. In the long run, the content industry has entered the stage of high-quality development, online video is in the stage of price increase, and the cost of content can be controlled, and the profit space is expected to improve.
Drama ensemble innovation to build a solid content moat, investment, member income is expected to grow. Mango has entered the product explosion period, and programs such as "Sound" and "braving the Wind and waves 3" occupy a leading position in the variety shows broadcast at the same time. From the number of variety advertisers, the advantages of attracting investment in mango variety continue to be highlighted, and the ability to attract money always leads the market. Mango TV "Monsoon Theater" continues to launch high-quality short dramas, which has a profound realistic intention, has produced a good reputation and won mainstream media reviews. With the release of 2022 sheets, more high-quality content such as "cutting through difficulties 2" will be launched soon, which will lead to the growth of advertising and member income.
Multi-business realization to build mango ecology, accelerate the layout of meta-universe and other cutting-edge technologies. The business upgrading of operators to enhance the vitality of the brand will bring new profit growth points; the new businesses realized based on IP "Xiaomang e-commerce" and "script killing" are in continuous layout; and the company is actively arranging cutting-edge technologies such as meta-universe to explore in virtual human, digital host, digital collection platform and other racetracks.
Investment advice: mango supermedium with innovative genes and unique attributes with high growth, always maintain a high level of content exploration, production and realization, performance is worth looking forward to. We adjust the net return of 2022 Universe 2023 for 2024 to 2387,2895 PE, which corresponds to a 17.0 times that of 24.1 CPG on July 12, 2022, maintaining a "Buy" rating.
Risk hints: macroeconomic fluctuation risk, film and television production risk, policy supervision risk, industry competition pattern change risk, technological innovation risk, brain drain risk, intellectual property infringement risk.