Datang Telecom: IC card chip faucet Advantage

Gao Wen "Datang Telecom in the domestic IC card chip manufacturing industry has a high status, the central bank announced that the bank magnetic stripe card gradually converted to IC card, may increase the company a piece of cake."　　"Hongyuan Securities analyst Li Kunyang told the first financial daily newspaper" financial quotient "reporter.　　Many brokers believe that the IC card chip manufacturing Advanced Technology Datang Telecom is expected to be in the bank card replacement in a cup of soup. The East China Sea Securities report pointed out that Datang Telecom, a subsidiary of Datang Microelectronics, has been involved in the development of IC card chips two years ago and has a first-hair advantage. The company won UnionPay PBOC2.0 certification, is currently applying for international EMV certification, will be expected to become the exclusive supplier of chip manufacturers.　　The Bank IC card cost 80% concentrates on the chip, the company as the upstream of the industrial chain should give higher premium. Galaxy Securities report pointed out that the current domestic chip manufacturers, only Datang Microelectronics's chip certification application was EMV organization to accept, which means that other domestic chip design enterprise related progress than datang lag more than 1.5, the next 2 years Datang microelectronics will not face strong competition from domestic enterprises.　　In the future will occupy at least 1/3 of the financial IC card chip market. Li Kunyang told reporters: "Datang Telecom manufacturing IC card chips in the market share and technology are relatively advantages." Bank card upgraded to IC card, the equivalent of IC card to add a field of application, the company added a piece of cake. Li Kunyang in the report pointed out that at present, China's stock bank magnetic stripe card in more than 2.2 billion, each financial IC card to the bank's unit price at 15 yuan. Considering that the price of chips will decrease with the growth of scale, and the natural growth of bank card application, the minimum value is more than 30 billion yuan.　　Both chip makers and card makers will benefit greatly. However, compared to other banks IC card industry-related companies, the central bank "on the promotion of the application of financial IC card" (hereinafter referred to as "opinion"), Datang Telecom's share price performance lags behind.　　Since March 15, the shares of Heng Bao rose by 8.35%, the eastern letter of Peace shares rose 4.51%, while Datang Telecom's shares fell 0.78%. A person in the industry told reporters: "Opinion" has just been introduced, and then the response of the major banks will take some time, tender, orders and other links are still uncertain. Moreover, Datang Microelectronics Company is only a subsidiary of Datang Electronics, IC card business impact on the company's performance is difficult to predict.　　"According to Datang Telecom's 2010 Annual report, the company achieved operating income of 4.02 billion yuan in 2010, a 25% increase from the same period in 2009, a total profit of 180 million yuan, a 34% increase from the same period in 2009, and a net profit attributable to the parent company 66.04 million Yuan, up 15% from a year earlier." In addition to the expansion of the Bank IC card, the company also has multiple concepts such as Internet of things, mobile payments and e-books. Guo Hai securities that, with the popularization of 3G, micro-payment (micropayment, refers to the payment of small amount of transactions, also refers to "digital cash" or "electronic cash"Such new electronic payment means" will become the killer application of 3G, there will be explosive growth; in the context of government policy vigorously supporting the strategic emerging industries, the company's advantages in the relevant fields will play an active role in the growth of the company's performance in the future. Galaxy Securities expects Datang Telecom's earnings per share to rise from 0.18 yuan in 2010 to 0.46 in 2011 and 0.68 in 2012, while the P/E ratio will be 128 times times that of 2010, down to 49 times times 2011 and 33 times times 2012.