Weekly Market Situation Of Textile And Garment Industry

Market review:

Textile last week

Plate absolute yield -0.08%, the Shanghai Composite Index rose 0.63% over the same period, the Shanghai and Shenzhen 300 index rose 0.71%, and the textile and garment sector lost 0.79 percentage points.

The absolute yield of the textile sector is 0.49%, relative yield -0.22%, the absolute yield of the clothing sector is -0.60%, and the relative yield is -1.30%.

The top two sectors of the decline were men's clothing and export textile industry, with an average decline of 0.36% and -0.04% respectively.

The two sub sectors after the rise and fall were casual wear and outdoor products industry, with an average increase of -2.47% and -7.64%.

The turning point of export textile industry still needs to wait.

From the point of view of domestic sales, the sales growth rate of domestic sales has dropped and sales volume has increased rapidly under the discount sale of major businesses, but the growth of sales price has declined, and the operating cost of the company is still increasing this year, which will have a negative impact on the profit margins of the whole industry.

We believe that the current industry boom is not high, looking for more stable performance of the company.

Industry news trends

1) Italy No. 1

GEOX, the world's second largest casual footwear brand, chose BELLE after 5 years of acting.

Recently, the brand signed a cooperation agreement with another Chinese agent, NGC, which planned to have 382 GEOX in mainland China in 2017. The green environmental protection agency of the international environmental protection agency released a new survey on its website. The clothing of 20 fashion brands including Armani and Calvin used toxic and harmful substances in the production process and formed residues.

The dynamics of listed companies.

1) announcements of public offering of A shares, 2 announcement of the announcement of Jiaxin silk and Mei Bang costumes on the lifting of pledge and pledge of shares held by controlling shareholders.

3) the cashmere industry has been awarded the national high-tech enterprise, enjoying 15% preferential income tax rate of 4, and AOKANG international EU anti-dumping lawsuit has won.

Industry related data.

Last week, the COTLOOKA index fell -1.12%, to 79.4 cents / pound.

Domestic grade 328 cotton, a slight increase of 0.18 percentage points, to 18754 yuan / ton.

The overall trend of chemical fiber raw materials was weaker, viscose staple fiber increased by 0.52%, polyester staple fiber decreased by 0.69 percentage points.

We believe that short and short demand is not enough to drive prices up.

Investment advice.

At present, the growth from the performance of listed companies to the growth of terminal consumption is not ideal.

We are right.

The points of view of clothing subdivision industry are as follows: 1) the overall pressure of leisure clothing industry in the autumn and winter clothing industry is larger than that of the whole industry, and the terminal passenger traffic volume has dropped compared with the same period. In the three quarter, the performance of the leading companies of casual wear has a negative growth.

We believe that if the terminal consumption growth rate is still sluggish, the probability of short-term investment opportunities in casual clothing industry is small.

2) the performance of home textile industry is down again this year, and the industry boom is still not high.

3) men's performance is relatively stable, but the recent order data will decline. We still have doubts about its future growth rate.

4) the low performance and low performance of the textile companies in the second half of this year will appear, but the industry inflection point still needs to wait.

At present, terminal consumption is still weak, and the future consumption trend is hard to judge. It is still difficult to exclude the possibility of a further downtrend in earnings forecasts.

Less investment opportunities in the industry can focus on stable listed companies.