This week, the textile and garment sector outperformed the market by 3.91pct, Shanghai Challenge Textile Co.Ltd(002486) , Fujian Fynex Textile Science & Technology Co.Ltd(600493) , Zhejiang Weixing Industrial Development Co.Ltd(002003) rose ahead. This week (01.04-01.07), SW textile and garment sector rose 1.52%, CSI 300 fell 2.39%, and textile and garment sector outperformed the market by 3.91pct. Among them, SW textile manufacturing sector rose 2.59%, and SW clothing and home textile rose 0.73%. From the valuation level of the sector, the industry PE calculated by SW textile and garment overall method (TTM, excluding negative value) is 18.91 times, which is lower than the average value in recent one year. The top 5 companies in the textile and garment sector this week are: Shanghai Challenge Textile Co.Ltd(002486) (+ 16.39%), Fujian Fynex Textile Science & Technology Co.Ltd(600493) (+ 11.97%), Zhejiang Weixing Industrial Development Co.Ltd(002003) (+ 10.92%), St noble (+ 10.79%) and Leshan Giantstar Farming&Husbandry Corporation Limited(603477) (+ 10%); The top 5 companies in the textile and garment sector this week were: Jinfa Labi Maternity & Baby Articles Co.Ltd(002762) (- 10.54%), Guangdong Wanlima Industry Co.Ltd(300591) (- 9.67%), Zhejiang Natural Outdoor Goods Inc(605080) (- 8.82%), Lancy Co.Ltd(002612) (- 8.77%) and China Dive Company Limited(300526) (- 4.67%).
The household goods sector outperformed the market by 3.37pct this week, with Jiangshan Oupai Door Industry Co.Ltd(603208) , Dare Power Dekor Home Co.Ltd(000910) , Zhejiang Walrus New Material Co.Ltd(003011) rising ahead. This week (01.04-01.07), SW household goods sector rose 0.99%, CSI 300 fell 2.39%, and furniture sector outperformed the market by 3.37pct. From the valuation level of the sector, the industry PE calculated by the overall method of SW household products (TTM, excluding negative values) is 26.91 times and that of SW furniture is 25.1 times, which is lower than the average value in recent one year. The top 5 companies in the furniture sector this week are: Jiangshan Oupai Door Industry Co.Ltd(603208) (+ 10.23%), Dare Power Dekor Home Co.Ltd(000910) (+ 9.62%), Zhejiang Walrus New Material Co.Ltd(003011) (+ 8.81%), Healthcare Co.Ltd(603313) (+ 8.03%) and Suofeiya Home Collection Co.Ltd(002572) (+ 7.12%); The top 5 companies in the furniture sector this week were: Chengxin Lithium Group Co.Ltd(002240) (- 13.2%), Xlinmen Furniture Co.Ltd(603008) (- 5.35%), Keeson Technology Corporation Limited(603610) (- 3.29%), Guangdong Piano Customized Furniture Co.Ltd(002853) (- 2.71%) and Guangdong Topstrong Living Innovation And Integration Co.Ltd(300749) (- 2.06%).
Important industry news:
\u3000\u30001. Hongxingerke Xinjiang garment production base was officially put into operation. On January 3, 2022, hongxingerke Xinjiang Yutian garment production base was officially completed and put into production. As the largest long staple cotton production base in China, Xinjiang supplies high-quality cotton with white luster, soft fiber and excellent elasticity all over the world. The hardworking people of Xinjiang have made Xinjiang cotton famous all over the world with advanced cotton picking equipment and production technology. The world’s cotton sees China and China’s cotton sees Xinjiang, which is one of the important reasons why hongxingerke chose to establish a garment production base in Xinjiang. It is reported that hongxingerke Xinjiang garment production base is about to put 120 production lines into full operation and implement 4000 jobs. Together with Henan Shangqiu Ju county shoes and Clothing Industrial Park (which created 3000 + jobs) in November last year, it will strengthen the road of industrial development.
\u3000\u3000 2. Vietnamese textile enterprises were forced to push off new export orders. According to Vietnam express, textile and garment companies in southern Vietnam were forced to push off new export orders due to labor shortage, rising raw material prices and high sea freight after the epidemic. The survey of Vietnam Employment Relations Research Center found that 66.7% of buyers agreed to delay delivery, but only 16.7% agreed to share the air transportation cost, and only 1 / 5 of buyers agreed to include part of the epidemic prevention and control cost in the unit price. According to a survey conducted by the center in November last year, 75-80% of the workers returned to work in factories in southern provinces that month, but one month later, some workers chose to resign due to wage arrears and other reasons; By the second quarter of this year, Vietnam will still be an important source of clothing and textiles for foreign partners. 50% of the surveyed buyers said they would increase procurement, but labor shortage will still be a big problem. According to the data of Vietnam’s General Administration of customs, Vietnam’s clothing and textile exports exceeded US $29.1 billion in the first 11 months of 2021, a year-on-year increase of 8%. Specifically, the value of clothing and textiles exported to the United States increased by 13% to US $14.3 billion, the value of exports to the EU increased by 3.1% to US $3.4 billion, and the value of exports to Japan decreased by 9.5% to US $2.9 billion.
\u3000\u30003. Prada & Adidas launched re nylon environmental protection series and created the exclusive space of “meta universe”. On January 5, Adidas announced that it would cooperate with Prada to launch the sustainable re nylon series, which is the third series launched by the two brands after announcing the long-term cooperation in 2019 and the first cooperation between the two brands in the clothing field. The series will be officially released on January 13. Adidas is responsible for the design, prada is responsible for the manufacturing and processing, and through Prada boutique and online website Prada com. And Adidas com./ Prada is available worldwide. The products cover the redesigned and upgraded adidasforum series sports shoes, sportswear, accessories and bags. It is expected to perfectly combine Italy’s top professional technology with the innovative tradition of sportswear. Prada’s iconic re nylon fabric launched in 2019 is made of waste fishing nets and plastic waste in the sea. It can be purified and recycled without affecting the quality of the material. Adidas officials said that this cooperation will also hold online celebrations, and brand fans will have the opportunity to be invited to the exclusive meta space created by Adidas and Prada. Previously, in November 2019, Prada and Adidas jointly launched the first co branded “limited edition” series: a co branded model based on the iconic superstar sneakers launched in 1969 and a new bowling bag specially created by Prada for adidas; In 2020, the two major brands launched superstar 2 Version 0.
Important announcement of the company: [ Zhejiang Jasan Holding Group Co.Ltd(603558) ] announcement on the progress of repurchase of the company’s shares by call auction; [ Jinhong Fashion Group Co.Ltd(603518) ] announcement on the results of convertible bonds into shares and share changes in the fourth quarter of 2021; [ Hla Group Corp.Ltd(600398) ] announcement of convertible bonds to shares and share changes; [Lutai a] announcement on convertible bonds to shares in the fourth quarter of 2021; [ Biem.L.Fdlkk Garment Co.Ltd(002832) ] announcement on the conversion of convertible corporate bonds in the fourth quarter of 2021; [Li Ning] shall disclose the subscription of trading financial products; [ Anzheng Fashion Group Co.Ltd(603839) ] announcement on the appointment of vice president and securities affairs representative; [ Chow Tai Seng Jewellery Company Limited(002867) ] announcement on the progress of repurchase of shares of the company; [ Shanghai Shuixing Home Textile Co.Ltd(603365) ] announcement on using idle self owned funds to purchase financial products; [ Baoxiniao Holding Co.Ltd(002154) ] report on changes in shareholding of directors, supervisors and senior managers; [ Baoxiniao Holding Co.Ltd(002154) ] shareholders’ subscription of non-public offering shares of the company triggers tender offer; [ Shenzhen Ellassay Fashion Co.Ltd(603808) ] announcement on the listing and circulation of non-public offering of restricted shares; [ Luolai Lifestyle Technology Co.Ltd(002293) ] announcement on changing the sponsor representative of continuous supervision.
Investment suggestion: for the clothing and home textile sector, it is suggested to pay attention to Anta sports, Li Ning, the sports clothing leaders with higher prosperity and better competition pattern, and the stocks with valuation and cost performance Hla Group Corp.Ltd(600398) , as well as the leaders of sub track Chow Tai Seng Jewellery Company Limited(002867) , Bosideng, 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. Epidemic situation in Southeast Asia or affecting the capacity release of textile manufacturing industry; 5. Large fluctuations in exchange rates
