OLED or the world's first TV theme

At present, Korean manufacturers occupy the commanding heights of OLED TVs. How can Chinese companies get a few cups?

It is predicted that OLED will gradually replace LCD in the next 2-3 years, but this technology is also facing a 4K ultra high-definition LCD TV competition display is actually "soft" - recently, Samsung announced at the 2013 Consumer Electronics Show A flexible OLED screen phone.

New technology has always been the focus of attention in the capital market, which has also produced a number of impressive "bull stocks." As OLED technology is gradually approaching, several companies have been listed in the OLED concept stocks.

So, how can OLED technology be developed, and will any company really benefit from this technology?

Although OLED prospects are widely used, commercial costs are high
“OLEDs can bring more 'lifelike' visual experiences to users and they can emit light, so no backlight is needed. Current OLED applications include automotive, display backlights, general lighting, medical and industrial uses, e-paper, billboards. And advertising, etc." Zhao Huan, chief analyst of the financial sector, said in an interview with the reporter of the "Financial Business" of China Business News.

According to reports, the so-called OLED organic light-emitting diodes, also known as organic electro-laser display. Because of its thinness, power saving and other characteristics, the display device has been widely used in MP3 players since 2003. For digital cameras and mobile phones that belong to digital products, it was only demonstrated at some exhibitions that OLED screens were used. The engineering samples have not yet reached the stage of practical application. In spite of this, OLED screens are favored because of their unmatched advantages over many LCD (liquid crystal panels).

So, what is the difference between OLED and LCD and LED, which are more popular in the television field?

In fact, the LCD emits light through the backlight and generates various colors by refraction of the liquid crystal molecules. The liquid crystal molecules cannot emit light by themselves, and the LEDs only refer to the backlight. OLEDs emit light themselves, so no backlight is required.

“The trend of OLED applications in TV and mobile phones is already very obvious and will become the main field of application. Recently, Samsung and LG have made it clear that they will launch OLED TVs to China this year. OLED TVs will become the global color TV of this year. The first theme. At the same time, its development in the field of tablet computers, lighting and other areas is also relatively rapid, with a certain amount of room for growth." He Zuhua, senior researcher at China Investment Consulting said.

He believes that the overall LCD panel market in China is sluggish, and some companies have increased their investment in R&D of OLEDs, and have also given them certain development opportunities. The demand for OLED materials in the future market will show a rapid rise. Its development prospects are broad, and the market potential and space are large. However, at present, its development is also constrained by capital and other aspects. The further development of the industry still needs the government to provide corresponding policies and financial support.

In fact, although OLED has just started, it is already facing a strong opponent. According to NPD Display Search, until 2015, 4K (ultra-high definition) LCD TV shipments will exceed OLED TVs. The main reason is that the commercialization of OLED TVs is delayed, and brand owners are actively promoting 4K LCD TVs.

Some analysts believe that the cost of OLED technology is high. If there is no new technological breakthrough, it will be difficult to popularize in the short term. Taking an OLED TV as an example, it is several times more expensive than an ordinary high-definition television. Whether or not it will pay a higher price for watching ultra high-definition television is a problem many consumers will first consider.

Orient Securities said in its research report that OLEDs are regarded as the future of consumer TV screens. However, for OLED TVs, the manufacturing cost is relatively high. Currently, LG Electronics' 55-inch OLED TVs are priced at US$10,300. This product will only account for a very small share of the global TV market in the next two to three years.

He Zaihua stated that the OLED industry has been identified as a key area for the development of strategic emerging industries in the country. The introduction of future policies will bring certain positive news to the development of the industry. Its downstream industries include mobile phones, computers, televisions, and automotive electronics. Businesses will hopefully benefit. Because of its high investment and long return period, it still faces funding problems in its development. The lack of R&D investment and the lack of core patent technologies have restricted its development.

The data shows that from the perspective of the market share of global panel companies, the global market share of the Korean panel industry is about 50%, and that of Taiwan is about 30%. Japan has dropped to 10%. China's mainland panel industry accounted for less than 1% of the global market in 2005, rising year-on-year to 10% in 2012.

The company benefits OLED expectation is not yet clear

In fact, for the electronics sector, new technologies have always been the focus of attention in the industry. As for the new technology of OLEDs, related companies have already been deployed and there are several so-called “OLED concept stocks” on the market. Compared with other concepts, the OLED concept is not very concerned with, but is there room for start-up?

"The upside of OLED concept stocks will depend on the implementation of policies and the fundamentals of listed companies. The division between individual stocks will be inevitable. In operation, it is suggested that ambush should be performed at low prices and band operations should be avoided." said Zhao Huan. .

In a research report issued by Huabao Securities, with the large amount of R&D input from various parties, OLED display technology continues to improve and costs have decreased. It is expected that OLED will gradually replace LCD in the next 2 to 3 years, becoming the mainstream display technology. The entire display panel industry chain will undergo new changes. It is recommended to pay attention to BOE A (000725.SZ), Shen Tianma A (000050.SZ), Rainbow (600707.SH) and other related stocks.

Judging from the current capital market, there are several companies involved in the OLED business, but only as a technology reserve. Among them, as early as in 2009, the controlling subsidiary of Nanjing Hi-Tech (600064.SH) had established a joint venture company to research OLED technology.

CSG A (000012.SZ) in the OLED industry of the National 863 Program, undertook the project of "Development of Conductive Substrates for OLEDs". Silan Micro (600460. SH) has previously developed an OLED dedicated driver IC chip with independent intellectual property rights.

As early as December 2008, Rainbow shares invested in the construction of an OLED production line in Foshan with an initial investment of 255 million yuan. In addition, related companies such as Chaohua Technology (002288.SZ) and Guangyun Da (300227.SZ) are also considered to have OLED concepts.

Some analysts believe that due to the uncertainty of the OLED commercial time, these companies can hardly afford to benefit from the development of OLED technology in the short term. At present, as a concept, they are only "catching the wind."

The Wind statistics show that the above companies also have poor performance. Among them, CSG A, Silan Micro, Rainbow shares net profit fell in the first three quarters of last year, and it is expected that the performance of the whole year was in a state of loss.

Chaohua Technology: Grasping 30%~80% of Annual Results of PCB Industry's Full Industry Chain Technology

"If the broader market stabilizes in the near term, the stock already has some room for rebound. Investors can pay appropriate attention to Chaohua Technology (002288.SZ) in OLED stocks." Financial analyst Zhao Huan recently accepted the China Business News An interview with the "Finance" reporter said.

According to reports, in the entire OLED concept section, Chaohua Technology belongs to the recent good performance. The performance forecast announced by the company stated that it is expected that the net profit for 2012 will be 43 million yuan to 59.53 million yuan, an increase of 30% to 80%.

From the secondary market point of view, the company's stock price has rebounded since December last year, as of January 18, closed at 10.22 yuan this week, an increase of 4.71%.

According to statistics, Chaohua Technology is a joint-stock company specializing in the production of single-sided circuit boards and self-produced copper clad laminates. It is mainly engaged in CCL (copper foil substrate), PCB (printed circuit board) and related upstream products, electrolytic copper foil, and The research, production, and sales of wood pulp paper is one of the few manufacturers in the PCB industry with a vertically integrated industrial chain. It has formed a relatively complete product line from electrolytic copper foil, special wood pulp paper, and CCL to PCB.

Wang Fenghua, an analyst at Hongyuan Securities, believes that the company’s biggest core advantage lies in the fact that it has mastered the entire industry chain technology from the production of upstream raw materials to the production of downstream PCB boards, which can effectively control production costs and is subject to relatively small fluctuations in raw material prices. Due to the relatively large price of raw materials in PCB board production, this company's advantage can help it maintain its leading position in the industry competition.

Analysts said that in 2009 the company's net profit growth rate is relatively small, and last year, the reason why the profit growth rate reached 30% to 80%, and the company's mergers and acquisitions plan and additional production and other factors.

Since 2011, the company has increased its holdings through capital market mergers and acquisitions or established new subsidiaries. The semi-annual report showed that Sanxiang Corporation and its subsidiaries Sanxiang Circuit Co., Ltd. and Meizhou Taihua Co., Ltd. were the main sources of profit for the company. Analysts believe that the company relies on companies with stronger profitability in the M&A industry to optimize its industrial chain and achieved good results, contributing most of the profits for the company.

Another way for the company to improve its profitability is to constantly use raised funds and its own funds to improve the product structure. Among them, the company's fundraising project "expanded annual production capacity of 2.4 million square meters of environmental protection fabric base copper clad copper board project" has been trial production in the first half of 2012.

In addition, an annual output of 8,000 tons of electronic copper foil project is expected to reach mid-2013 production. The company expects that the profit for the first two years after putting into production can reach 83 million yuan per year, and the profit for the fifth year and beyond will reach 126 million to 127 million yuan each year.

In the first three quarters of the previous year, the company’s total operating revenue increased by 112.1% year-on-year, and its net profit grew by 90.87% year-on-year. The significant increase in the company's operating income was mainly attributable to the increase in sales of CCL and the inclusion of Meizhou Taihua in the consolidated statement.

Wang Fenghua predicts that the company's operating income from 2012 to 2014 will be 576 million yuan, 1.1 billion yuan and 1.637 billion yuan respectively, and the net profits will be 50 million yuan, 100 million yuan, and 149 million yuan respectively, and the corresponding EPS will be 0.15 yuan and 0.3 yuan respectively. Yuan, 0.45 yuan.

As of September 30, 2012, a total of five major institutions held Chaohua Technology, with a total of 28.85 million positions, accounting for 20.03% of the A-shares in circulation, and two funds. They are Putian Income Fund and Penghua Industry Growth Fund. There were 1.8 million shares and 1.12 million shares, which was an increase over the first half of last year.

risk warning

The systemic risk of the broader market, the risk that the fund-raising projects fail to achieve the expected results, and the risk of fierce competition in the industry.

Light rhyme: 3D printing, OLED double concept plus skyrocketing still have hype space?

The turmoil in the field of consumer electronics products can always stimulate the imagination of the capital market. The recent debut of Samsung's flexible OLED TVs has also revitalized the relevant concept stocks, which also includes the optical fiber laser forming services and laser drilling services of the main industry for flexible circuit boards. (300227. SZ).

“The company’s recent rise is related to laser printing. It is mainly the speculation of the subject matter concept. The stocks that the general agencies are concerned about will not be such a situation. It may be the behavior of hot money and large households.” An analysis of Shenzhen’s unwillingness to disclose its name The division told the First Financial Daily "Financial Business" that the company's main business is basically irrelevant to 3D printing. The clarification announcement has also been issued before, and it has nothing to do with the current OLED concern, but this does not prevent the speculation of funds.

The reporter called Everlight in an investor capacity to consult with OLED related business. The company said: "At present, the company's products do not involve OLED, the main industry is laser molding and laser drilling."

Data shows that Everlight has been engaged in precision laser manufacturing and service business. The main products produced and sold by the company include laser stencils and precision metal parts. The processing services provided include flexible circuit board laser forming services and laser drilling services. The products are mainly provided to world-renowned electronics manufacturers such as Huawei, Foxconn, Nokia, and Samsung.

Previously during the International Consumer Electronics Show (CES), new OLED TV products exhibited by major display manufacturers such as LG and Samsung attracted the attention of many participants, and the next-generation display technology, OLED TV, increasingly attracted the attention of the industry. Since Yunguang Da has been involved in related concepts such as 3D printing and OLED, it has achieved significant growth since its rebound in December last year. Wind data shows that from December 4, 2012 to January 18 this year, the company's share price rose 81.08%, the latest report closed at 21.73 yuan.

An analyst from Shanghai, who asked not to be named, told reporters: “The laser business of Guangyun Da is extensive. It is mainly the traditional business such as forming and drilling. Even if OLED is used in laser equipment, it has already reached At the IC level, there is basically no need for the company's equipment."

In fact, in the downturn of the electronics industry in 2012, the value of the company's investment was questioned.

The above-mentioned analyst from Shenzhen stated: “The capital market is not particularly concerned about the company. The performance of the company itself has not reached expectations since its listing. The laser processing business is declining in the country as a whole, and the company’s own and industry factors have led to the current investment value of the company. Lower."

According to the third quarterly report of 2012, the company achieved an operating income of 117 million yuan, a year-on-year increase of 26.12%, and a net profit attributable to shareholders of listed companies of 0.14 billion yuan, an increase of 8.56% over the same period of last year. The company said in its financial report: “In the past two years, affected by the debt crisis in Europe, the export volume of electronic products has decreased, and the electronics industry as a whole has been in the doldrums. Despite the better development of smart electronic terminal consumer products represented by smart phones, the 2012 electronic The signs of an overall rebound in the industry are not obvious. The industry recovery has not really begun in the third quarter. The market environment for the electronics industry is not optimistic for the company.

The above analysts from Shanghai believe that from the industry perspective, the electronics industry may usher in a slight recovery in 2013, the consumption cycle of electronic products determines the possibility of this recovery, smart products have accumulated a certain amount of consumption of traditional products. Base number; For the company, the laser business and electronic products are closely related to the cycle, and the company's capacity expansion in different parts of the country is expected to bring benefits. However, the analyst also stressed that this recovery is not significant.

He said: "From a fundamental perspective, there is no real value of light Yunda, even if the company can cut into the 3D printing or OLED business, not to see the performance contribution in two or three years, the current valuation is relatively high relative to the main business is certainly high However, from a market point of view, the company's plate is small, and it involves a dual concept, and there may be room for further speculation."

risk warning

Profitability has not improved, new businesses have not developed, and valuations have deviated from fundamentals.