Investment Strategy Of Textile And Garment Industry In February 2014

< p > < strong > domestic consumption slightly increased, < a target= "_blank" href= "//www.sjfzxm.com/" > textile > /a > corporate profits continued thickening < /strong > /p >

The export situation was stable after the first quarter of 2013, and the export growth rate of textile raw materials was mostly hovering between 10-20%. P

The export growth of < a target= "_blank" href= "//www.sjfzxm.com/" > clothing < /a > and a target= "_blank" href= "//www.sjfzxm.com/" > shoes > href= > slightly lower, basically maintained at around 10%, especially the export volume growth and the amount growth of footwear have been reduced.

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< p > 2013, the retail sales of clothing commodities of major national retail enterprises increased by 5% over the same period last year, the growth rate was 7.3 percentage points lower than that in 2012, and the retail sales of all kinds of clothing increased by 3.4% over the same period last year, and the growth rate was 1.4 percentage points higher than that in 2012.

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< p > price index, PPI of textile industry has declined steadily, terminal price is stable, clothing CPI is at normal level.

The main business income of textile enterprises totaled 12.48% year-on-year.

The total operating profit was 20.31% year-on-year, which is already better than clothing a target= "_blank" href= "//www.sjfzxm.com/" > clothing > /a > the growth rate of the enterprise as a whole. This shows that the upstream textile enterprises are better than the downstream garment enterprises, and there are also reasons for the rise of overseas orders.

The main business income of clothing and apparel enterprises was 10.98% year-on-year, and the total operating profit was 10.99% year-on-year, which was relatively stable in 2013.

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< p > < strong > trend of textile and garment market < /strong > < /p >

< p > January 2014 Shanghai Composite Index fell 3.92%, Shanghai and Shenzhen 300 index fell 5.48%, Shen Wan textile and garment industry fell 0.81%, shwan textile manufacturing industry index fell 0.27%, Shen Wan clothing textile industry index fell 1.37%.

By the end of 1, the valuation of textile and garment industry was 24.02 times, the value of textile manufacturing industry was 36.64 times, and the value of apparel textile industry was 19.08 times.

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< p > < strong > investment strategy < /strong > < /p >

In P, January, some of the funds were diverted from the IPO market, and the textile and garment industry also fell slightly.

In February, we will enter the announcement period of performance forecasts. From the industry data, the possibility of a large over expected company in the industry will not be too great, so we still need to be cautious in the whole.

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The good policy of < p > textile manufacturing industry is to start a pilot project in a straight way: in 2014, the Central Document No. 1 put forward the pilot work of "target price subsidy" for cotton in Xinjiang for the first time.

The market is expected to implement direct subsidy to cotton farmers in Xinjiang as a pilot area in the 2014/2015 cotton season, and the specific form of direct subsidy has yet to be determined.

Although the timetable is not clear, direct replacement instead of purchasing and storage is a relatively determined policy. The stability of cotton prices will further benefit the cotton enterprises to expand profits. We recommend Lu Tai A, Huafu color spinning and Baron East.

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< p > the sales data of garment home textile industry show that the growth rate of a href= "//www.sjfzxm.com/news/index_f.asp" > men's wear less than /a and footwear companies is at the bottom of the valley. Home textile companies are likely to grow steadily and differentiate in other sub sectors.

After the Spring Festival, sales will be off season, and the terminal will be mainly discounted. We suggest that we should remain steady and pay attention to the performance forecast and the 14 year order meeting. We recommend a better way to explore the performance of the dream home textile and Internet strategy than the expected one. We also have long been optimistic about the cashmere industry since the 14 year's new capacity is put into operation.

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