Investment Opportunities Of Textile And Apparel Industry In The Long Run

Weekly market review

Following the sharp fall in the stock market last week, the market has edged up after the market bottom this week, the Shanghai Composite Index closed at 2086.17 points, up 2.93%, the Shenzhen composite index closed at 8679.22, up 5.82%, and Shanghai and Shenzhen 300 closed at 2293.11 points, up 4.28%.

The plate rose 0.32% this week, with 0.69% of the textile manufacturing sector and 1.14% of the home textile market.

Industry dynamic scanning

(1) in September, the PMI of China's manufacturing industry was 49.8%, textile and clothing.

The industry is higher than 50%; (2) ICAC expects that the price difference between China and foreign countries will be narrowed; (3) the economic performance of the textile industry in 1-8 months; (4) the global clothing exports will increase in price; (5) the reduction of Chinese orders will lead to a sharp decline in cotton exports in India.

Company News Click

(1) Pathfinder (300005): the company's actual controller promised not to reduce shares during the year; (2) Shanshan stock (600884): General Manager Ren Weiquan resigned; (3) American bond dress (002269) was fully issued 800 million and 365 days short finance; (4) BELLE's acquisition of Big Step is expected to be completed by the end of the year; (5) Nike's first quarter: profit fell to 12% dollars.

Investment perspective

Textile manufacturing sub industry: the textile industry has not yet seen the turning point, the external market demand is still relatively low, the overall volatility of the textile sector is more likely.

Clothing home textile sub industry: in the weak

In the environment, the brand clothing enterprises determined by the growth of performance have a good defensive nature. In the medium and long term, we are optimistic about Pathfinder, search for special (002503), long Zi share (002612), nine herd King (601566) and seven wolves.

Short term brand clothing plate lacks stock price catalyst, waiting for investment opportunities of valuation switching.