UNIQLO Profits Slump, Parent Company'S Stock Price Cut, Japan'S Richest Man Change Hands

Recently, the parent company of UNIQLO, XXXX limited, has released its half year performance data, which accounts for 55.1% of the profits of its parent shareholders, the biggest decline in recent years.

The securities issued by the fast forward sale in Hongkong dropped by 20% in a week.

This verifies the judgment a few months ago: the global fast - selling company has come to a key crossroads.

Stock price cut, Japan's richest man change hands

The underlying securities issued by XXX in Hongkong fell to HK $19 on Friday, more than half of the biggest drop in the highest price in the mid 2015, and the total market capitalization has fallen by more than HK $200 billion.

I am afraid that I will lose the position of the richest man in the name of UNIQLO.

actually

The decline of the current round of performance and the sharp fall in share prices have led to the early warning of bread and finance nearly three months ago. In January 19, 2016, the article published an article entitled "big profits, steep market capitalization, and how long can UNIQLO fire?"

On the day of the publication, the closing price of Hong Kong stocks was HK $24.4, and by April 8th, Hong Kong shares closed at HK $19.66.

Over the past two months after the publication of the article, its share price fell by 20%.

Why is the fashionable uniqe going to be empty in advance?

In fact, the problems faced by UNIQLO are early signs. Even though UNIQLO is still regarded as a model of fast selling clothing, but through the analysis of its core financial indicators in recent years, UNIQLO may encounter difficulties in 2016.

More than two months ago, bread and butter reasons for empty uniforms in the article, in addition to changes in the valuation level, the other two are still part of the existence.

The core points are as follows:

1, the inventory turnover speed of UNIQLO is slowing down, and the strategic advantage is being cut down.

2, the domestic market of the United States and Japan will suffer great pressure.

3, the high price earnings ratio of UNIQLO needs high growth to support, and the value of investment is questionable.

According to the latest semi annual newsletter, profits from Japan fell by 28.3% compared to the same period last year, and losses in the US market were widening.

The company's pre tax profits fell 49.9%, and shareholders' profits fell by 55.1%.

Although it has been judged according to the changing trend of core financial indicators, UNIQLO may face more trouble in 2016.

But just two months later, these judgments were fulfilled in the semi annual report, which is still unexpected.

If you want to see the core finance of fast selling

You can import "UNIQLO" or "quick sale" on the WeChat public account of bakery, and browse related content.

Will the fast selling myth of UNIQLO come to an end?

The trend of short-term stock price does not explain the long-term competitiveness of a company.

The previous article of bread and economics simply analyzed the problems that UNIQLO might encounter by objective analysis, and did not make any predictions for short-term stock prices. In fact, bakery also never considered itself able to predict stock prices.

For a clothing company that sells fast and cheap, the most fatal problem is speed and inventory.

The number of inventory turnover days of fast retailing companies has been increasing in recent years, which means that companies are actually slowing down and stock pressure is increasing.

The core index of measuring inventory level is the number of days of inventory turnover. From the chart below, it can be seen clearly that the turnover speed of fast selling companies has been slowing down since 2012.

In 2016, the inventory turnover rate of China Daily was high, and the main factors were seasonal factors at the end of 2015.

The annual sales deadline for fast sales is August 31st each year, and the half yearly deadline is at the end of February.

In August, it should be stocked for autumn and winter. The inventory levels over the years are higher than those in February.

However, it should be noted that in the article "how long can UNIQLO fire last?", the statistics of inventory turnover days used by bakery are different from that in this article.

The main reason is that the company used to compare some of the listed companies in UNIQLO and the United States, and the financial criteria used by different companies were different.

Roughly the same.

Through the analysis of inventory turnover speed and other financial data over the years, it is not too difficult to predict the performance of fast selling companies in 2016.

However, when the boots come to the ground, the fast selling semi annual report also shows a lot of positive factors.

The turnover rate of the latest half year was slightly higher than that of the same period last year.

Moreover, as the overseas business of UNIQLO has increased year by year, the sharp appreciation of the yen in the past six months has a considerable impact on business and exchange gains and losses. This is actually a one-off factor. If appropriate, the problem may not be solved.

At the same time, as the most important overseas market of fast selling, the apparel industry in China has gone to the second half of the stock market, and the business strategy of fast selling in the mainland and the United States is also rapidly adjusting; the multi brand strategy is also advancing.

A fast-growing company, as long as its core competitiveness is still in existence, experiencing temporary pressure does not mean a complete collapse.

If the strategy of the fast selling company is adjusted properly, shifting smoothly from high speed growth to a cash cow moving at medium and low speed is still not impossible.

Predicting a company's short-term stock price trend is like witchcraft.

Solid research and objective analysis of the actual operation of the company is the royal way that investors should uphold.

This time it happened that the "red heart" was the "egg" shared by the readers of the bread economy and the silent support.

However, the ultimate outcome of a Hong Kong stock company can be clearly foreseen for another "veteran".

Earlier, when the company launched a "capital operation" with doubtful points, the mainland media gave a boost.

The details of the operation of bakery financial research show that there are significant doubts, and many investors may suffer heavy losses.

Therefore, the first critical article published by naming names lists many facts, questioning the company's misleading and even cheating investors.

For various reasons, the article later disappeared.

But before it disappeared, it had been widely disseminated in the financial industry of Hongkong and the mainland, and attracted the attention of regulators.

In the next few days, the company's share price plummeted by 80%.

At that time, bread and finance left a passage in the text: "peel the skin and choose the bone, the word is based! There is always the day when truth is revealed."