Key investment points:
Market performance
This week (12.31-1.6), the CSI 300 index decreased by 2.10%, the home appliance (CITIC) sector rose by 1.93%, and the industry outperformed the market by 4.03 percentage points, ranking eighth among the 30 CITIC first-class industries. In the fine molecule industry, kitchen appliances accounted for 2.11%, white appliances for 2.44%, lighting electricians and others for 0.12%, small appliances for 0.91% and black appliances for 0.95%. In terms of individual stocks, in the past five trading days, Kennede Electronics Mfg.Co.Ltd(002723) (+ 27.24%), Zhejiang Goldensea Hi-Tech Co.Ltd(603311) (+ 22.54%) and Wuxi Hodgen Technology Co.Ltd(300279) (+ 20.66%) increased the most, while Youngy Health Co.Ltd(300247) (- 12.27%), Chengdu Xgimi Technology Co.Ltd(688696) (- 7.89%) and Tailong lighting (- 5.68%) decreased the most.
Industry related data
White electricity: according to AVC data statistics, in the first week of 2022 (2021.12.27-2022.1.2), the offline sales volume of air conditioning decreased by 27.13% year-on-year and the sales volume decreased by 30.69% year-on-year; Online sales decreased by 13.01% and sales decreased by 21.03% year-on-year. The offline sales volume of refrigerator decreased by 20% year-on-year, and the sales volume decreased by 28.55% year-on-year; Online sales increased by 13.31% and sales increased by 8.49% year-on-year. The offline sales volume of washing machines decreased by 28.72% year-on-year, and the sales volume decreased by 34.47% year-on-year; Online sales increased by 24.5% and sales increased by 11.78% year-on-year.
Black TV: according to AVC data statistics, in the first week of 2022 (2021.12.27-2022.1.2), the offline sales volume of color TV sets decreased by 24.82% year-on-year, the sales volume decreased by 36.13% year-on-year, and the average price of offline products was 5909 yuan, an increase of 908 yuan year-on-year; Online sales increased by 6.17% year-on-year, sales increased by 9.62% year-on-year, and the average price of online products was 2505 yuan, down 81 yuan year-on-year.
Kitchen electricity: according to AVC statistics, in the first week of 2022 (2021.12.27-2022.1.2), the offline sales of range hood, gas stove, integrated stove and kitchen electricity package increased by – 21.64%, – 19.24%, 54.24% and – 24.24% respectively year-on-year, and the sales increased by – 26.58%, – 23.08%, 35.27% and – 32.76% year-on-year respectively; Online sales increased by – 15.70%, – 24.39%, – 26.61% and – 26.34% respectively, and sales increased by – 23.95%, – 32.79%, – 38.32% and – 31.94% respectively.
In terms of small household appliances, according to AVC data statistics, in the first week of 2022 (2021.12.27-2022.1.2), the offline sales of soybean milk machine, cooking machine, health pot and wall breaking machine decreased by 22.73%, – 32.6%, – 28.87% and – 31.58% respectively year-on-year, and the sales decreased by 24.55%, 38.63%, 29.53% and 31.47% respectively year-on-year; Online sales increased by – 27.97%, – 2.05%, – 23% and 17.06% year-on-year respectively, and sales decreased by 23.35%, 32.71%, 27.44% and 13.26% year-on-year respectively.
Household appliance industry highlights
Air conditioning business has become a new focus of Japanese electrical appliance manufacturers
At present, the global LCD TV panel price maintains a downward trend
The chip shortage will continue in 2022
Key company dynamics
Sichuan Changhong Electric Co.Ltd(600839) : Announcement on obtaining government subsidies
Hengdian Group Tospo Lighting Co.Ltd(603303) : Announcement on receiving government subsidies
Investment advice
According to the data released online by the industry, the total production schedule of the household air conditioning industry is planned to be 13.77 million units in January 2022, a decrease of 3.5% over the same period last year. According to the production scheduling data in January, the overall slight downward trend continues, mainly due to the overall downturn of the terminal sales market and the off-season of air conditioning, so the enterprise production scheduling is more cautious. According to the latest air conditioning production and sales data, in November, the total production of household air conditioners increased by 7.52% year-on-year, and the total shipment decreased by 2.4% year-on-year, of which the domestic sales decreased by 4.51% year-on-year, and the export increased by 0.1% year-on-year.
In November, the overall market scale of hardbound commercial housing increased. According to the statistics of ovicloud, there are 379 hardbound opening projects of commercial housing, with a year-on-year increase of 21.1%. Throughout the year, from January to November, China’s commercial housing hardbound projects opened a total of 3150, down 7.1% year-on-year; The cumulative number of opening rooms was 2.594 million, a year-on-year decrease of 11.7%. In terms of investment suggestions, we suggest paying attention to the following points: 1. Focus on grasping the leader of undervalued performance exceeding expectations and ushering in an inflection point; 2. The prosperity of emerging household appliances continues to improve. It is suggested to pay attention to the leaders of emerging household appliances industry who enjoy the high growth dividend of the industry. To sum up, the industry is temporarily given a “optimistic” rating. It is recommended to pay attention to Midea Group Co.Ltd(000333) (000333), Haier Smart Home Co.Ltd(600690) (600690), Gree Electric Appliances Inc.Of Zhuhai(000651) (000651), Shenzhen Crastal Technology Co.Ltd(300824) (300824) and Zhejiang Meida Industrial Co.Ltd(002677) (002677).
Risk statement
The risk of macroeconomic environment fluctuation; The risk of recurrent outbreaks; Risk of exchange loss caused by exchange rate fluctuation; Risk of serious decline in industry terminal demand; Risk of declining prosperity of overseas exports
