Textile And Garment Industry In February: Brand Opportunities Gradually Appear

In 1 and 2010, the Shanghai and Shenzhen 300 index accumulated a year-round increase of -11.51%.

2, export of textile and garment industry is getting warmer, price factor is better than external demand recovery.

Textile in 2010

We believe that the increase in export volume comes mainly from the rise in export prices rather than the reversal of external demand; the domestic demand for textile and garment industry is strong, raw material prices are rising or some demand is suppressed.

3, e-commerce platform or help sales.

The proportion of online shopping pactions in total retail sales of consumer goods also increased year by year, 1.2%, 2.1% and 3.2% respectively.

According to the statistics of Taobao data center, the largest C2C e-commerce platform, the paction volume of clothing products ranks first among all commodities.

Clothing Brand Company independently build e-commerce trading platform (self sale B2C), compared to a large number of C2C mode sales, more channel configuration advantages and product line advantages.

4, research review - American bond.

To maintain a performance forecast of 0.75 yuan for 10 years, the performance of 11-12 years was increased to 1.15 and 1.6 yuan respectively.

We believe that the sharp rise in the stock price of the initial company is related to the stable earnings forecast after the equity incentive is launched, and the market has given the elastic valuation after the turning point of the performance. The current PE value is 25 times in 2011, and it is at a medium level in the brand clothing company. After the performance inflection point appears, the value of the resilient foam market has passed. The 30PE valuation is given in 2011, the target price is 34.50 yuan, and the "recommended" rating is maintained.

5, the opportunity of brand clothing valuation is gradually presented.

In January, brand clothing experienced a collective decline. We think the reasons are as follows: (1) systemic risk under high valuation.

(2) the impact of the Lining incident.

(3) seasonal factors.

After the recent baptism, the valuation of the brand clothing company is basically 20-25 times. We believe that we will gradually enter a reasonable range of configuration, maintain the "neutral" of the textile sub industry and the "recommended" rating of the clothing sub industry.

We reiterate good news birds, Pathfinder, taking into account the reasons for the valuation of seven wolves, the rating up to "strongly recommended".