CICC: Investment Strategy For Textile And Garment Sector In 2011

We look good. Textile and garment industry In the medium and long term growth, most men's clothing, women's shoes, home textiles and other companies are expected to maintain more than 30% profit growth in the next three years. Deterministic growth and strong profitability Brand clothing plate Become worthy of continuous attention. Investment category 。 We firmly believe that the judgment of sub industry development stage is the fundamental of investment logic, and brand and channel are the core competitiveness of enterprises. Investment recommendations in 2011: 1) based on the strong profits, relatively reasonable valuation of men's wear, women's shoes, home textile industry leader based configuration, to obtain 30~40% deterministic gains; 2) high risk investors can participate in the Pathfinder [34.00-2.88%], search for special [86.57-6.91%], and the trading opportunities of Smith Barney; 3) value investors can advance the layout of Rutai A[9.11-2.67%], Huafu color spinning [28.40-3.60%] and other export manufacturing enterprises, for valuation and profit double promotion.