摩根大通中国户外媒体行业研究报告.pdfVIP

Asia Pacific Equity Research 03 June 2010 China Out-of-Home Media A leveraged mid-cycle play • We initiate coverage on the China out-of-home media sector with OW Digital Media rating on Focus Media and Neutral rating on AirMedia and AC Dick Wei VisionChina. With the 2009 business restructurings in the sector largely (852) 2800-8535 behind, we expect the sector to see stable revenue growth and margin dick.x.wei@ leverage going into 2010/11. We expect positive share price drivers to be: J.P. Morgan Securities (Asia Pacific) Limited (1) companies building a good execution track record; and (2) multiple expansion as the sector goes through a macro up-cycle. Ritesh Gupta (91-22) 6157 3307 • We prefer Focus Media given its: (1) good execution capability; (2) ritesh.z.gupta@ strong negotiating power over location owners (individual building J.P. Morgan India Private Limited owners); and (3) prior non-performing media investments have been Imran Khan disposed of. In the l