Textile And Clothing: We Should Pay Attention To Brand Enterprises Expecting High Growth In The First Quarter.

Investment points

Market review: this week, the market volatility declined, the Shanghai Composite Index closed at 2349.54 points, down 2.30%, Shenzhen Shenzhen index 9885.25 points, down 3.83%.

The overall index of textile and garment sector fell 2.69% this week, with the textile sector falling by 1.66% and the clothing sector by 3.50%.

In the companies we covered, only three companies such as kannu Di Road, Rebecca and long's stock company achieved absolute profits this week. The higher proportion of manufacturing and export, the bigger adjustment this week, and the decrease of the price of the dream home textiles, the wedding birds and the YOUNGOR are over 5%.

Industry information: (1) HSBC China PMI preview index fell to 48.1 in March. (2) BELLE re acquisition of Nike and Adidas distributors wanted to channel oligopoly dreams; (3) all domestic B2C platforms took off free signs; (4) increased the expansion of the second tier Chinese market, and Japanese apparel companies narrowed the distance between production and demand; (5) vip.com became the first Chinese company to list in the US this year;

Company dynamics: (1). 1. YOUNGOR (600177 SH): YOUNGOR's return to men's wear unit, undervalued value to be excavated (for the first time: 20120323); (2). 002656.SZ: brand more mature domestic high-end men's clothing (first report: 20120320); (3). Rebecca (600439.SH): domestic brands began to exert strength, export recovery products upgrading (annual review).

Brand fashion: (1). The twentieth China International Clothing and clothing Expo is about to be held

Investment strategies and recommendations:

Looking forward to the whole year of 2012, we are still optimistic about the brand clothing section. We mainly recommend seven wolves, nine herdmen, Shanghai Jahwa, Roley home textiles, fuanna, Pathfinder, wedding bird, and long Zi stock.

Most of the brand clothing listed companies are expected to earn at least 25% of their profits in 2012, and the annual return on investment is expected to exceed 20%.

For the current 3/4 month's industry investment strategy, we suggest that we focus on a good track seekers who have good prospects, such as the Pathfinder, the long group, the search, the canu Road, the seven wolves and the good news birds.

The overall trend of the industry will depend on the final result of the 2012 autumn and winter ordering conference. We expect that most of the key brand clothing companies will have an increase of more than 20% in the autumn and winter of 2012, which still has a good investment value from the whole year.