This week, the textile and garment sector outperformed the market by 0.05pct, with Inner Mongolia Tianshou Technology&Development Co.Ltd(000611) , Huasi Holding Company Limited(002494) , Huali Industrial Group Company Limited(300979) rising ahead. This week (01.24-01.28), SW textile and garment sector fell 4.46%, CSI 300 fell 4.51%, and textile and garment sector outperformed the market by 0.05pct. Among them, SW textile manufacturing sector decreased by 3.98%, and SW clothing and home textile decreased by 4.92%. From the valuation level of the sector, the industry PE calculated by SW textile and garment overall method (TTM, excluding negative value) is 17.68 times, which is lower than the average value in recent one year. The top five companies in the textile and garment sector were: Inner Mongolia Tianshou Technology&Development Co.Ltd(000611) (+ 14.24%), Huasi Holding Company Limited(002494) (+ 8.39%), Huali Industrial Group Company Limited(300979) (+ 6.37%), Zhejiang Kanglongda Special Protection Technology Co.Ltd(603665) (+ 2.87%) and Anzheng Fashion Group Co.Ltd(603839) (+ 2.52%).
This week, the household goods sector lagged behind the market by 0.79pct, Guangdong Hotata Technology Group Co.Ltd(603848) ushered in an increase of 1.04%. This week (01.24-01.28), SW household goods fell 5.3%, CSI 300 fell 4.51%, and furniture fell 0.79pct behind the market. From the valuation level of the sector, the current industry PE calculated by SW household goods overall method (TTM, excluding negative value) is 24.5 times and SW furniture is 23.04 times, which is lower than the average value in recent one year.
Important industry news:
\u3000\u30001. The Winter Olympics has added fire to the ice and snow economy, and ice and snow consumption is heating up. The 2022 Winter Olympic Games held in Beijing will add another fire to China’s growing “ice and snow economy”. Gao Feng, a spokesman for the Ministry of Commerce, said on the 27th that the sales of outdoor products increased by 30.8% year-on-year in 2021, of which ski equipment increased by 55.2%. Dai bin, President of the China Tourism Research Institute, said that the new pattern of “ice and snow economy” in full bloom all year round in the East, West, North and south of the country has taken shape. The “three pillars” of Northeast China, Beijing, Tianjin, Hebei and Xinjiang, the Qinghai Tibet Plateau ice and snow tourism belt represented by Tibet and Qinghai, and the “two belts rise” of the central and Western ice and snow leisure belt represented by Sichuan, Guizhou and Hubei. According to the disclosed data, Xu Xingfeng, head of the Department of market operation and consumption promotion of the Ministry of Commerce, proposed that there has been an upsurge of ice and snow consumption everywhere, and the sales of ski products on some e-commerce platforms have more than doubled. Ctrip data show that since December last year, the booking volume of ski resort tickets for the new year’s Day holiday in China has increased by 86% year-on-year compared with that in 2020. Among them, when users in North China and Northeast China choose the surrounding scenic spots, one of the average five people will choose the ski resort. The China Tourism Research Institute has also released the development report of China’s ice and snow tourism (2022). Ice and snow tourism is changing from new fashion and new folk customs to a normal lifestyle. The number of ice and snow leisure tourists in China has increased from 170 million in the 2016-2017 ice and snow season to 254 million in the 2020-2021 ice and snow season. It is expected that the scale of ice and snow leisure tourism in China will reach 305 million in the 2021-2022 ice and snow season, The National Ice and snow leisure tourism revenue is expected to reach 323.3 billion yuan. Jingdong data show that since the new year goods Festival, ice and snow sports related categories have become the most popular “new year goods”, with a year-on-year increase of 135%. Among them, the turnover of ice and snow equipment increased by 107% year-on-year, ice and snow sports clothing increased by 99% year-on-year, and ice and snow sports protective equipment increased by 41% year-on-year. According to the provinces, the growth rate of ice and snow consumption in Guangxi, Anhui, Yunnan, Hubei and Hunan was the fastest. According to Alibaba, the sales of ski products increased by 120% year-on-year during tmall’s “double 11” last year. In December 2021, the booking volume of goods related to flying pig ice and snow tourism increased by more than twice as much as that in November.
\u3000\u30002. Jingdong’s turnover in the Spring Festival increased by more than 50%, and more than 5 million kinds of commodities were transported from place to place. According to jd.com data, as of February 5, the turnover of jd.com during the Spring Festival in 2022 has increased by more than 50% year-on-year, with the growth rate of Henan, Jiangxi, Tibet, Hunan and Anhui leading the list, reaching 87%, 86%, 75%, 64% and 61%. Holiday consumption is closer to the daily structure, and the top ten transactions are mobile communication, household appliances, computer office, digital, local life / travel, food and beverage, beauty and skin care, mother and baby, outdoor sports and alcohol. Compared with the same period of last year’s Spring Festival and lunar calendar, the turnover of “tiger element” products increased significantly. The turnover of jewelry products increased by more than 50% year-on-year. Beauty and skin care products also favored “tiger element”. The turnover of facial skin care and body skin care products reached more than twice year-on-year; At the same time, Bao’s parents also pay great attention to the purchase of new year’s “tiger element” equipment for their children. The turnover of toy musical instrument “tiger element” commodities such as building block splicing, trendy play / animation, remote control / electric toys exceeded 10 times year-on-year. More than 5 million kinds of goods were transported in different places during the Spring Festival, among which Henan, Jiangsu, Hebei, Shandong, Sichuan, Guangdong, Anhui, Beijing, Hunan and Hubei received more packages from different places; Guangdong, Shanghai, Beijing, Zhejiang, Jiangsu, Anhui, Shandong, Fujian, Sichuan and Tianjin are the provinces and cities that send out more non local packages. The proportion of non local packages is increasing day by day.
\u3000\u30003. Digitalization gives birth to the flavor of the new year, and Winter Olympics brings flourishing ice and snow consumption. On February 6, Alibaba released the consumption trend report of the Spring Festival in the year of the tiger, which showed that the “tiger content” of annual commodities was high, the trading volume of commodities such as the year of the tiger sweater, the year of the tiger bag and the tiger hat increased significantly, and the search volume of annual commodities related to the “tiger” increased by 874% year-on-year. Some brands with the word “tiger” in their names are also popular. According to incomplete statistics, the sales volume of brands with the word “tiger” increased by nearly 70% year-on-year. During the Spring Festival, the sales volume of Shanxi tiger hat sellers increased three times year-on-year. Bing dwen dwen, the Beijing Olympic Winter Games began in February 4th, and over 1 million netizens poured into the official Tmall flagship store. At the opening ceremony of the Winter Olympic Games that night, many netizens opened the mode of buying the same model while watching the live broadcast. The “down jacket of the Chinese team at the opening ceremony of the Winter Olympic Games” boarded Taobao hot search. People’s enthusiasm for ice and snow sports was completely ignited during the Spring Festival this year. From New Year’s Eve to the fourth day of the first month, tmall skiing equipment increased by more than 180% year-on-year, and ice sports categories increased by more than 300% year-on-year. The situation that ice and snow sports are dominated by foreign brands is also quietly changing. The Beijing Winter Olympics is like a catalyst, which has greatly promoted the development of China’s ice and snow industry. On the eve of the Spring Festival, the overseas sales of domestic ski products on express increased by more than 60% year-on-year, of which the overseas sales of ski helmets increased by 15 times. Taking the opportunity of the Winter Olympics, the number of domestic ski products businesses on Express has increased by nearly 50% in the past year. In the past year, consumers in 100 countries and regions around the world bought Chinese snow gear on express. From Iceland in the north to Chile in the south, there are Chinese ice and snow industry brands.
Important announcement of the company: [ Huali Industrial Group Company Limited(300979) ] 2021 annual performance forecast; [ Xin Hee Co.Ltd(003016) ] 2021 annual performance forecast; [ Anzheng Fashion Group Co.Ltd(603839) ] announcement of annual performance reduction in 2021; [ Zhejiang Semir Garment Co.Ltd(002563) ] 2021 annual performance forecast.
Investment suggestion: for the clothing and home textile sector, it is suggested to pay attention to Anta sports and Li Ning, the leaders of sportswear with higher prosperity and better competition pattern, as well as Chow Tai Seng Jewellery Company Limited(002867) , Bosideng and Ningbo Peacebird Fashion Co.Ltd(603877) .
Risk tips: 1 Real estate sales did not meet expectations; 2. The epidemic situation in China continues to occur repeatedly; 3. Intensified brand competition; 4. The epidemic situation in Southeast Asia may affect the production capacity release of the textile manufacturing industry; 5. The exchange rate fluctuates greatly.
