Core view
Plate Market Review. In February 2022, Shenwan beauty care sector increased by 4.29%, outperforming CSI 300 index and CSI 500 index by 3.9pct and 0.14pct respectively. In terms of individual stocks, St Guoyi, Jiangsu Aoyang Health Industry Co.Ltd(002172) , Syoung Group Co.Ltd(300740) and Syoung Group Co.Ltd(300740) rose the most in February, recording increases of 21.78%, 15.57% and 12.87% respectively, Shanghai Sanyou Medical Co.Ltd(688085) and Shanghai Jahwa United Co.Ltd(600315) fell sharply in February, falling by 10.21% and 4.18% respectively.
Online cosmetics sales in February: domestic brands continued to differentiate. 1) On tmall platform, the sales of skin care products reached 12.983 billion yuan in February, with a year-on-year increase of 30% and a month on month increase of 47.9%. In terms of brands, Lancome, Estee Lauder and L’Oreal ranked the top three in terms of sales, Proya Cosmetics Co.Ltd(603605) ranking sixth. The sales of cosmetics category reached 4.414 billion yuan, a year-on-year decrease of 10% and a month on month decrease of 9.3%. According to brands, the top three sales were Saint Laurent, Armani and Meike respectively, and huaxizi and colorkey ranked fourth and seventh. 2) tiktok platform, skin care products, February sales of sales of skin care products in TOP10 stores, Proya Cosmetics Co.Ltd(603605) ranks second in sales, and sales tiktok is 57 million 581 thousand yuan, and Winona and Kore Leni are fourth and fifth respectively. In February, tiktok, Bai Ruimei, and perfect diary occupy the top three positions in sales of cosmetics, such as the February sales of color cosmetics stores, and the sales volume of Hua Xizi exceeds 100 million yuan, far exceeding other brands. The filing of new cosmetics is still in the doldrums. According to the China drug administration, there were two products in February for Proya Cosmetics Co.Ltd(603605) and Bloomage Biotechnology Corporation Limited(688363) respectively. The products for Proya Cosmetics Co.Ltd(603605) were velvet and two versions of the Qin ran version. The Bloomage Biotechnology Corporation Limited(688363) product was two mask.
Investment suggestion: the growth rate of China’s cosmetics industry is the world’s leading, and the industry is still booming in the next few years. Domestic brands at the head of the segment track are rising rapidly. Under the strategy of large single products, the R & D investment is strengthened, and the product strength and brand strength are rapidly improved. Under the background of stricter supervision, standardize the development of the industry and accelerate the clearance of tail enterprises in all links, which is conducive to the improvement of the market share of head brands. It is recommended to pay attention to the leader of sensitive skin care products Yunnan Botanee Bio-Technology Group Co.Ltd(300957) ( Yunnan Botanee Bio-Technology Group Co.Ltd(300957) . SZ), the leader of domestic beauty cosmetics Proya Cosmetics Co.Ltd(603605) ( Proya Cosmetics Co.Ltd(603605) . SH), the leader of Centennial domestic daily chemicals Shanghai Jahwa United Co.Ltd(600315) ( Shanghai Jahwa United Co.Ltd(600315) . SH), the leader of medical beauty injections Imeik Technology Development Co.Ltd(300896) ( Imeik Technology Development Co.Ltd(300896) . SZ), the world’s largest supplier of hyaluronic acid Bloomage Biotechnology Corporation Limited(688363) ( Bloomage Biotechnology Corporation Limited(688363) . SH) Biomedicine + ecological health two wheel drive Lushang Health Industry Development Co.Ltd(600223) ( Lushang Health Industry Development Co.Ltd(600223) . SH).
Risk tip: the market demand for new products is less than expected; Intensified market competition; Price fluctuation of raw materials; Repeated outbreaks outside China have impacted channel sales; Macroeconomic pressure.
