2023 Leading Internet of Things Concept Stocks

2023 Leading Internet of Things Concept Stocks

The biggest feature of the 5G era is the Internet of Everything. The Internet of Things is one of the most rapidly developing, large-market and most important directions in the 5G era. The core of the Internet of Everything is everything that can be connected to the network. The following are the leading Internet of Things concept stocks brought to you by the editor! Hope you all like it!

Since the leading position can change at any time, there are currently 195 Internet of Things stocks, namely:

603118*** shares,

300504 Tianyi shares ,

688258 Zhuoyi Information,

600171 Shanghai Belling,

600584 Changdian Technology,

688159 Youfang Technology,

002079 Suzhou GoodTech,

300638 Fibocom,

300312 Bangxun Technology,

002151 BeidouStar,

300476 Shenghong Technology,

002369 Zhuoyi Technology,

000034 Digital China,

300101 Zhenxin Technology, etc.

1 Quectel Communications: leader in the module industry, with a complete global sales system

PCs are declining and mobile phones are fading, and the unified Internet of Things standards have broken through technical bottlenecks and become the next explosive point. The communication technology of the module industry is iterating from 2G to 5G, and the new NB-IoT technology is mature. Downstream applications range from smart payment, smart water, electricity and coal meters to the sharing economy and smart cities. Rising volume and price drive the industry's continued prosperity. We predict that the module industry's market size will range from 20 billion to 60 billion from 2018 to 2023, with a compound growth rate of 29. There will be no obvious ceiling for the industry space in the next five years. The establishment of a global sales system for domestic manufacturers has broken the original pattern in which foreign manufacturers dominated. Foreign module leaders Sierra Wireless and Telit have experienced negative growth in revenue, while domestic competitors rely on cost advantages and global channels to achieve simultaneous growth in scale and gross profit margin, and occupy a competitive advantage.

Talent, technology, industry experience, and market certification create industry barriers. First entrants have worked hard for many years, and industry barriers continue to deepen. The core competitiveness of modules lies in software rather than hardware. Most manufacturers in the industry adopt a business model of self-research, sales, and manufacturing outsourcing. The company's competitive advantages run through three major links: R&D to expand product lines, sales to open up markets, and manufacturing to improve delivery capabilities. 1) Multiple R&D teams have been in various industry segments for many years and have the most comprehensive product series. When new application scenarios of the Internet of Things break out, the research and development of new product lines is ahead of competitors. 2) Global sales system and multiple market certifications; 3) Scale advantages reduce costs and improve delivery capabilities.

The company's business evolution is divided into three stages: increasing scale - increasing gross profit - increasing net profit. The company is still in a period of scale expansion in the next three years. It is predicted that wireless module shipments will increase from 48 million in 2018 to 160 million in 21. The global market share of shipments is expected to reach 50% and the revenue share is 30%. At the same time, the company is planning for long-term development, moving downward into intelligent manufacturing and upward into application services. It is expected to further open up profit margins through vertical integration of the industrial chain.

2 Mobile Communications: A small and beautiful IoT terminal manufacturer with global competitiveness

The company is the industry's leading provider of wireless IoT equipment and solutions. The company provides high-quality GPS terminal equipment and solutions for wireless IoT applications such as vehicle communications, fleet management, item tracking, personnel safety management, telemedicine and wireless health management, remote monitoring, etc. The products can be divided into vehicle tracking communication products, items Tracking communication products, personal tracking communication products, animal tracking products, etc. In 2018, the company's main business revenue was 476 million yuan, of which vehicle tracking communication products accounted for 68.09%, item tracking communication products accounted for 21.15%, personal tracking communication products accounted for 1.06%, and other main businesses accounted for 9.79%.

As one of China's major export suppliers of M2M (machine-to-machine communication) equipment, the company's products are exported to North America, South America, Europe and Asia and other parts of the world. In the field of M2M equipment, the company's competitors are mostly overseas companies. Mainstream suppliers around the world include CalAmp and Enfor in the United States, Teltonika and Aplicom in Europe, Portman in Taiwan, China Mobile Communications, Boshijie and Contex. Among them, more than 85% of the business of Mobile Communication is overseas. It is the only domestic enterprise that has gone global and competes with European and American suppliers, and has strong competitiveness in the world.

On the basis of traditional vehicle, item and personal tracking, the company has been actively expanding its private scooter business and animal tracking business since 2018, and hopes to open up space for the company's growth. (1) The sharing economy is rising globally, focusing on opportunities to expand sharing scooters. In 2018, electric scooters emerged in many overseas cities, and this year they continue to heat up in Europe and other places. Currently, the two largest electric skateboard companies on the market are Lime and Bird, and giants such as Uber, Lyft, and Google are also entering the market. (2) Cooperate with Australia's Lidl to expand the field of animal tracking. At the beginning of 2018, the company signed a strategic cooperation agreement with Australia's Lead Products Company. Lead Products is the world's leading manufacturer of animal identification system solutions. It has seventy years of rich experience in the livestock industry and perfect sales channels. Its products have passed the Australian National Livestock Identification system and certification by the International Animal Recording Committee. At present, the company has completed the research and development of more than 30 products, including a series of products such as visual signs, electronic signs, and readers, and has basically the ability to provide customers with complete solutions.

3 Espressif Systems: Leader in WiFiMCU communication chips, open source ecosystem creates barriers

The company’s main business is IoT WIFIMCU communication chips and modules. In the WIFIMCU chip segment, The company belongs to the first echelon with giants such as Qualcomm, Texas Instruments, Marvell, and Cypress. The main products, ESP8089, ESP8266 and ESP32, have competitive advantages in performance, integration, power consumption and stability, and the cost-effectiveness of foreign manufacturers is more obvious.

The main application scenario of WiFi MCU is smart home. In the early stage of the development of smart home, there were relatively few types of smart hardware, mainly single products such as smart speakers. Now it has evolved from single product intelligence to whole-house intelligence. Since 2018, the types of smart devices in the home scene have increased. Smart door locks, smart lighting, smart cameras, smart switches and other smart items have become popular, and whole-house smart solutions have become a new trend. The company cooperates closely with well-known manufacturers such as Xiaomi, Tuya, and Ecovacs, its major downstream customers. The downstream demand is strong, and the company's share continues to increase.

The company has innovatively established an open and active technology ecosystem through open source methods, and has a high reputation in the global IoT developer community. Many international engineers, makers and amateurs, Based on the company's hardware products and ESP-IDF operating system, new software applications are actively developed online. In the internationally renowned open source community forum GitHub, there are more than 25,000 code open source projects designed by online users around the company's products.

4 China Resources Microelectronics: Integration of the entire industry chain, early deployment of IoT sensors and controllers

China Resources Microelectronics is China’s leading chip design, wafer manufacturing, packaging and testing company and other semiconductor companies with integrated management capabilities across the entire industry chain. Their products focus on the fields of power semiconductors, smart sensors and smart control. The company is China's largest power device company, with many of its products leading the country in terms of performance and technology. As the new window of the Internet of Things breaks out, the company has deployed IoT sensors and intelligent controllers in advance, and its research and development and capital investment are tilted towards new businesses. At present, the two sub-segments account for less than 10% of the total business, and are expected to inject new vitality into the company's development in the future.

The company's smart sensors can be mainly divided into MEMS sensors, smoke sensors and photoelectric sensing products. The product line is rich and widely used in automotive electronics, consumer electronics, industrial control, medical and other fields.

MEMS sensors have higher requirements on wafer manufacturing and packaging technology, and the manufacturing process is also more complex. Eight of the top ten MEMS manufacturers in the world are IDM companies. Under the IDM model, the company has strong manufacturing and packaging and testing capabilities and has significant competitive advantages.

The amount of calculations used by MCUs for control is small, and product updates are slower than other integrated circuits. Domestic companies have the opportunity to catch up technologically. In the low-end consumer sector, China has already achieved a certain scale of import substitution. In areas such as automotive electronics and industrial control that require higher MCU performance, with the accumulation of technology by local companies, import substitution is expected to be achieved in the future. The company's intelligent control products can be divided into human-computer interaction MCUs, metering calculation MCUs, general-purpose MCUs, etc., and have achieved significant technological breakthroughs in multiple product series. The company's intelligent control products are based on industry-leading OTP, MTP, FlashCMOS and other mainstream process platforms, covering 4-bit, 8-bit, 16-bit and 32-bit CPU cores, and are used in human-computer interaction, consumer electronics, industrial control, measurement and calculation and other fields. , with the advantages of rich product lines and strong import substitution.

5 Gosuncn: strategic focus on Internet of Vehicles and public security business, transformation and transformation

The company has successively acquired Guomai Technology, ZTE Zhilian, ZTE IoT and other companies to complete its in-car operations In-depth layout in the field of Internet and public security. In Q4 of 2019, goodwill impairment was confirmed to be approximately 1.07 billion yuan, and the risk of goodwill impairment in the future will decrease. In 2019, the company was in a period of transformation and took the initiative to tighten PPP and BOT projects. In the future, it will mainly focus on BT projects and optimize project management. By strategically focusing on the main channel, the company will gradually transform from the past external expansion into an enterprise driven by endogenous growth. In 2019, we mainly focused on in-depth work on the product side and the market side. In 2020, we were an important node for early marketing implementation.

The company recently announced that it has terminated the acquisition of Etes 51 equity, which shows that the company's development ideas are once again focused. At present, the Internet of Vehicles products have achieved full coverage of "connection-terminal-platform-application", and the 5G Internet of Vehicles development strategy and city-level commercial Internet of Vehicles solutions have been released to promote the implementation of technology applications. It has been clarified that 213 million yuan has been gradually invested in the "5G and C-V2X product research and development project" to carry out unified planning and forward-looking technology layout of 5G-based modules, vehicle terminals, V2X platforms and other products to achieve multi-service integrated car networking applications. . Prior to this, Gosuncn also joined hands with Geely and Qualcomm to announce that Geely will release the world's first batch of mass-produced models that support 5G and C-V2X in 2021. Gosuncn will provide C-V2X products for these mass-produced models.

The company’s law enforcement and case-handling products have been implemented in 8 provinces and 40 prefectures and cities. After acquiring Aegis Information in 2018, Aegis's law enforcement and case handling platform currently accounts for approximately 40% of the national market share; its big data/intelligence platform has a market share of approximately 20%. On the one hand, Egis can strengthen its “end platform” layout, and on the other hand, the company is expected to leverage its channel advantages to break into the northern market. In December 2019, the company won the bid for the video cloud project of the Guangdong Provincial Public Security Department, and the public security business developed in an in-depth direction.

6 Broadcom Integration: Having been deeply involved in wireless communications for more than ten years, ETC and IoT support performance has been rising steadily

The company was founded in 2004. Dr. Zhang Pengfei graduated from the University of California, Los Angeles, and Dr. Guo Dawei is the actual controller of the company and has rich design and management experience in the field of radio frequency semiconductors. Founded 14 years ago, the company continued technological innovation and launched the world's first 5.8-GHz integrated transceiver chip for cordless phones. In 2007, as my country's highway ETC standard officially adopted the 5.8-GHz standard, Broadcom integrated the BK5822 integrated transceiver chip developed based on 5.8 GHz. It once occupied 90% of the domestic market share. At present, the company is the largest domestic supplier in the fields of national standard ETC radio frequency transceivers, wireless keyboard and mouse chips, FRS walkie-talkie chips, drone wireless remote control chips, and Bluetooth audio chips.

In May 2019, the State Council proposed to strive to basically eliminate provincial boundary toll stations on highways across the country by the end of the year. The Ministry of Transport issued a relevant notice. According to the plan, by the end of 19, all provinces (autonomous regions and municipalities) will have ETC automobiles. The installation rate reaches more than 80%, and the ETC utilization rate of vehicles traveling on highways reaches more than 90%. Under the strong stimulation of policies, the number of ETC users nationwide exceeded 180 million by the end of December 2019. As a pioneer in the ETC chip industry, the company's performance is expected to achieve rapid growth in the short term. Core Point Three: Long-term IoT application advancement opens up new space, with TWS headsets and smart homes bearing the brunt

With the explosion of the IoT market, Bluetooth and WiFi are still the mainstream connection solutions in local area communication scenarios. Smart homes have evolved from single product intelligence to whole-house intelligence, from smart single products such as smart speakers to smart light bulbs, smart wardrobes, smart door locks, and smart switches. The company's BK3260, BK3257 and other Bluetooth audio chips have been used in Baidu and Xiaomi's smart speakers, and low-power IoT WIFI chips are also being developed simultaneously. Taking the TWS headset launched by Apple as a node, the TWS industry has entered a situation where a hundred flowers are blooming. Huawei, Xiaomi, Samsung, etc. in the Android camp have increased investment in the TWS field. The company has reserved low-power Bluetooth audio suitable for wearable devices such as TWS headsets. Chips will benefit from the industry explosion.

7Heertai: Deeply engaged in the intelligent controller business, taking advantage of millimeter waves to take advantage of 5G satellite Internet

The company was founded in 2000 and is jointly invested by Harbin Institute of Technology and Tsinghua University *** set up. Since its establishment 20 years ago, the company has been committed to providing high-end products for the high-end market. It is an important partner of global companies such as Electrolux, Whirlpool, Siemens, GE, and Panasonic. It has a stable position as the leading intelligent controller in China. The company acquired Chengchang Technology in 2018, entered the field of millimeter wave radio frequency chips, laid out a new track, and injected new potential into the company's future development.

The company's intelligent controller business includes multiple product series such as household appliances, power tools, intelligent hardware, automotive electronics, LED products, and intelligent buildings. The main driving factor for smart controllers comes from the implementation of Internet of Things applications. The process of Internet of Things in various industries is developing in a wave shape. At present, smart homes, smart cities and other scenarios are realized quickly, and the cultivation period of Internet of Vehicles and Industrial Internet of Things is relatively long. . 65% of the company's performance comes from the smart controller business for home appliances. As smart homes leapfrog from single-product intelligence to whole-house intelligence, the future market space in the field of home appliances is broad. In the past three years, the company's revenue growth rate of home appliance controllers has remained above 30 and has not yet reached the ceiling. At the same time, the company established a subsidiary, Shenzhen Hetai Automotive Electronics, in July 2019. It has now established cooperation with auto parts manufacturer BorgWarner and is expected to achieve greater success in the field of automotive electronics.

Chengchang Technology, a subsidiary of Hetai, is a leader in the domestic phased array radar industry. With the core technology of phased array radar T/R chip components, it has effectively solved the high cost problem of T/R chip components. . Its products are used in batches in aerospace, aviation, weapons and equipment and other fields, and it is the only private supplier of satellite millimeter wave radio frequency chips in my country. There are two major highlights in the application of millimeter wave technology in the future: 1) Millimeter wave is the core technology of satellite Internet constellations. StarLink and OneWeb in the United States are expected to launch 15,000 low-orbit satellites in total, and my country's domestic satellite plan is also more than 3,500. Satellite manufacturing and launch will usher in a prosperous 10 years; 2) Millimeter wave frequency bands can meet the needs of 5G communications for large broadband spectrum resources. Domestic operators are also actively testing millimeter wave frequency bands. China Mobile expects to be able to implement 5G millimeter wave bands around 22 Commercial deployment of waves.

8 Inspur Information: Riding the wind and attacking the world’s number one

From the second half of 2018, Internet giants entered the server inventory digestion period. Judging from the 3Q19 data, the capital of overseas cloud giants Expenditures are picking up. The decline in capital expenditures of domestic cloud giants has narrowed. There are obvious signs of recovery in demand in downstream industries. It is expected that the overall capital expenditures of cloud manufacturers will achieve rapid growth next year.

In addition, 5G and AI, as two important variables, will drive high growth in server shipments: 5G is about to be commercialized, and GMI predicts that the edge data center market will exceed US$13 billion in 2024, and edge computing servers are expected to be deployed on a large scale starting next year; AI The industrialization process is accelerating. IDC predicts that domestic investment in AI infrastructure with computing power as the core will exceed US$5 billion in 2022, with a CAGR of 32 from 19 to 22. Finally, due to the impact of Sino-US trade frictions, the server business development of competitors such as Huawei and Sugon has been restricted to a certain extent, and the competitive landscape faced by the company has greatly improved. Driven by the above factors, the company, as the domestic server leader and global server leader, will usher in a new round of expansion.

The company has greatly improved its in-depth customization capabilities with the JDM model, and the new server product development cycle has been reduced from 1.5 years to 9 months. After the smart factory was put into production, the overall delivery cycle of cloud servers was shortened from 15 days to 3-7 days, production efficiency increased by 30%, production capacity increased by 4 times, and delivery capabilities were industry-leading. In past cases, it has set a record of deploying more than 10,000 nodes in 8 hours. Record. At the same time, benefiting from the scale effect, the company's period expense ratio dropped from 20.08 in 2012 to 8.47 at the end of 2018, which is far lower than that of domestic peers. Product pricing space is larger and more competitive. In-depth customization, rapid delivery and cost control are the core capabilities of server manufacturers. Inspur leads in all aspects and will benefit most from the development of the industry in the future.

Inspur’s four layouts will become the key to its ambition to dominate the industry: 1) The company’s international layout is complete and it is expected to achieve breakthroughs overseas in the future through product quality, deep customization and large-scale supply; 2 ) The company is one of the earliest manufacturers to lay out AI servers, with obvious first-mover advantages. In 2018, the domestic market share exceeded 50% (IDC), and the Internet industry share exceeded 60%; 3) The company has taken the lead in formulating edge computing server standards through OTII. Machines, products are currently launched, and will fully benefit from the development of edge computing in the future; 4) The major upgrade of the company's channel management model in 2018 will help stimulate the enthusiasm of channel partners for cooperation, and channel sales are expected to achieve high growth.

9 ArcSoft Technology: Visual algorithms are used as tools to open up the AIOT market

As one of the main entrances to the AI ??era, computer vision is mainly based on high-dimensional, dense data such as images and videos. It mainly deals with objects, has a deeper degree of information extraction, richer application scenarios, and huge commercial value. Mobile phone vision is one of the most mature application fields in the industry. It mainly benefits from the development of smartphone cameras. In the future, it is expected to receive accelerated development opportunities due to the 5G replacement wave and the increasing penetration rate of dual (multiple) cameras and deep cameras. In this field, third-party algorithm providers have advantages in technology accumulation and productization experience, and have great potential in the future.

The company has focused on the research of image processing technology for mobile cameras since 2003. After more than 20 years of development, it has created a relatively complete product system with high market recognition and leading industry position. Its customers cover major domestic and foreign companies. Mainstream Android smartphone manufacturers. We believe that the company has three major competitive advantages for its long-term development: 1) It has strong productization capabilities and can provide customers with optimally balanced solutions in the three aspects of "performance-power consumption-hardware cost" for different hardware within a limited development cycle; 2 ) The algorithm has a wide coverage, and it has accumulated a lot of experience and skills in the fields of imaging, graphics, and color, and has mastered various core AI technologies, building a complete visual AI technology system; 3) Preliminary construction of an industrial ecology, with close cooperation between the upstream and downstream of the industry chain , helping to keep up with industry development trends and continue to improve product competitiveness and customer demand response efficiency.

As the main information entrance for ADAS, with the improvement of automobile intelligence, the demand for in-vehicle lenses will increase rapidly, which will in turn drive the rapid development of automotive vision applications. The AI ??algorithm technology accumulated by the company in the field of mobile phone vision is versatile and scalable. A large number of modular products and basic support algorithm libraries can provide one-stop solutions for customers in different industries, laying a solid foundation for the company to develop the automotive vision market. Base. Currently, the company has proposed relatively complete solutions for vehicle surrounding environment detection and in-car safety assisted driving. In the future, it is expected to fully benefit from the development of the automotive vision industry and continue its technology and product leadership.

10 Hongquan IoT: Focusing on the Internet of Vehicles market for ten years, leading the commercial Internet of Vehicles system market

The company closely focuses on the two major technical paths of intelligent networked vehicles, and its main products include representative Advanced assisted driving systems on the intelligent technology path and intelligent enhanced driving systems, human-computer interaction terminals, and vehicle-mounted networking terminals representing the networked technology path. The main product of Chengsheng Technology, a wholly-owned subsidiary, is a smart city government management platform. The intelligent enhanced driving system business solves the problem of network connectivity, accounting for 58% of the revenue; the advanced assisted driving system improves the intelligence of vehicles and reduces traffic accidents, accounting for 15%, and is gradually replacing the intelligent growth driving system business, accounting for 100%. Smart city business accounts for 8. Currently, multiple smart city platform projects have been launched in Shanghai, Zhejiang and other regions.

The customers of the intelligent enhanced driving system are downstream car manufacturers. The company’s main customers are mostly large car manufacturers such as Shaanxi Automobile, Beiqi Foton, Beiben and Anhui Valin. The customer base is large and the quality of parts is very important. , performance and supply stability have high requirements, and a strict qualified supplier certification system has been established. Suppliers need to be audited by the customer's procurement, quality, testing, R&D and other departments before they can finally be included as qualified suppliers. Directory, company and company's main products have passed the qualified supplier certification process of major customers and successfully achieved sales.

The advanced assisted driving system business meets the fleet management requirements of urban management departments and operators of muck trucks. The customers are the operator fleets, 4S stores or transportation of muck trucks and cement mixer trucks in various cities. company. Hongquan IoT's advanced assisted driving systems account for 23 projects in 27 cities across the country, ranking first in the country in terms of market share.

11 Lexin Medical: The leader of health IoT in wearable cloud services, external merger and acquisition of TWS business

The company’s product lines include smart bracelet watches, blood pressure monitors, blood glucose meters, and body fat meters There are multiple categories such as scales, sleep monitors, and heart stickers, which can meet the product portfolio needs of multiple industries and segmented groups in different fields. The company's full range of products have medical certification qualifications such as China's CFDA certification, US FDA registration certification, EU CE certification, South Korea's GMP certification, Japan's "Designated Foreign Manufacturer Designation Letter", etc., and their safety and precision meet the national secondary medical instrument standards. . The connection between smart IoT and medical health is becoming increasingly close, and the value of a company's production qualifications and medical device quality system certification will become increasingly obvious.

The wearable product group provides end users and third-party health and medical institutions with massive, continuous, and multi-dimensional body sign data. These multi-dimensional sign data are correlated and mined through the company's intelligent big data platform to establish a deeper The user health value system combines with third-party health and medical service institutions to provide users with more diversified and professional services. As of the end of 2019, the Lexin Cloud platform had more than 20 million registered users and more than 300,000 daily active users.

In 2019, Apple launched AirPods2, which completely detonated the TWS headset market. At the same time, Huawei, Xiaomi, Samsung, etc. representing Android system companies increased their capital investment in TWS headsets. At the beginning of the industry's outbreak, Lexin Medical followed the industry development trend closely and acquired 41.06 shares of Sound Source Technology in June 2019 to enter the TWS blue ocean market. Sound Source Technology has domestic first-class research and development and the ability to solve complex technical problems. It owns the noise-cancelling headphone brand Linner. Sound Source Technology’s technical advantages in TWS headsets and Lexin Medical’s customer resources in the medical wearable market can form a good synergy.