Experts Recommend Reducing Lining Shares In Advance

Lining group announced earlier that the same store sales in the first quarter of this year increased by 5% year-on-year, mainly due to the relatively cold weather during the period, which affected the overall sales growth in the first quarter. During the May 1 holiday period (1-5 May, 3), the same store sales increased by 6.6% annually, and the group was aiming for a 10% increase in the same store sales throughout the year.

In the fourth quarter of this year, the order of Lining products dealers will be concluded. The order amount will increase by 20.3% annually, of which the average retail price of shoes will increase by 7.8%, the order quantity will increase by 1%, the average retail price of clothing products will rise 17.9%, the order quantity will increase by 10.9%, and it is expected that the gross profit margin of the company will be kept at 46%-48% level.

Domestic consumers' income and living standards have been constantly improved, and the mainland's economic and capital markets have seen a steady trend, which has helped the residents' consumer confidence continue to pick up, which has brought some impetus to retail consumption. In addition, the expenditure on sports apparel per capita in the mainland is lagging behind that of developed countries.

The stock price rebounded last month after falling through 250 antennas, and it rose to our target price of $28.80 when we introduced it in May 26th. We saw a high price of 29.35 yuan. After that, we were subject to a fall in the top of the channel. Although it is still running in the short term rising channel from the beginning of May to now, RSI and MACD are all weakening signals, suggesting that we should reduce them first.

Last day's closing price is 27.05 yuan.

Target price: 28 yuan.

Support bit: 25.20 yuan