Textile And Apparel Industry Growth Is Expected To Improve Quarterly

At present, it has entered the double peak period of 2018 annual report and 2019 quarterly report. Outstanding 2018 performance represents the company's fundamentals in the past year.

A quarterly report as the first financial year of the year, the eye-catching performance is a good omen for the strong performance in 2019. The 2018 annual report and the 2019 one quarterly double growth share are undoubtedly one of the important ideas for the layout of performance wave market.

According to the data of flush statistics, the market research center of the Securities Daily found that as of yesterday, a total of 825 companies in two cities disclosed the 2018 annual report, a quarterly report in 2019 or a quarterly earnings announcement, of which 405 companies were expected to achieve annual growth in 2018 and 2019.

A total of 7 companies in the textile and garment sector are expected to achieve double growth in 2018 annual reports and quarterly reports in 2019, accounting for 63.64% of the total number of reports disclosed in the industry, including quarterly reports or quarterly reports.

According to the year-on-year increase in net profit of the annual report, Xingye Technology (156.42%) and heir (120.06%) two annual net profit of textile and apparel stocks doubled, showing the highest level. The annual reports of black peony, Xinye textile, Kai Run shares, di Su fashion and Wanlima have also increased to varying degrees.

Annual net profit absolute amount, black peony (662 million yuan), di Su fashion (574 million yuan), Xinye textile (386 million yuan), Kai Run shares (174 million yuan), Hinur (129 million yuan) and Xingye Technology (116 million yuan) and other stocks were plentiful, with net profits exceeding 100 million yuan.

A quarterly report, the 7 textile and apparel stocks, 4 stocks have disclosed a quarterly performance, of which Black Peony (93.49%), Xinye textile (47.93%), di Su fashion (32.58%) a quarterly net profit to achieve varying degrees of growth, Hinur a quarterly performance year-on-year losses, in addition, Kai Run shares, Xingye technology quarterly performance is expected to achieve different degrees of growth.

Judging from the market performance of the 7 blue chip stocks during the year, Xingye Technology (129.91%) and Xinye textile (35.69%) all outperformed the same period in the same period (31.15% in the Shanghai Stock Index). Wanlima (27.08%), heir (24.11%), black peony (21.45%), di Su fashion (20.33%) and Kai Run share (14.40%) also rose to varying degrees during the year.

Among the 7 stocks, the 3 shares of Xinye open market (13), di Su fashion (12) and textile (7) and so on were shown to be bullish by the agencies, and the number of optimistic ratings granted by the agencies in the past 30 days exceeded 6.

For the opening up shares of the group, Guoxin Securities said that the company mainly focuses on luggage and bags. In recent years, it has fully pformed the intelligent travel provider. Under the ecological support of millet, the company successfully built the "90" sub brand of the suitcase and realized explosive growth, and the B terminal business was also recognized by the head customers.

Recently, the company has stepped up its product category and its own channels to expand its strength. It is expected that the C side will maintain relatively high growth rate and gradually enhance its profitability.

The 2018 annual report of the textile and garment industry and the double growth share of the quarterly net profit in 2019 are getting together.

The industry's warmer expectations were also verified by official data.

In March 2019, the total amount of social zero was 3 trillion and 170 billion yuan, an increase of 8.7% over the same period last year, and the growth rate was 0.5 percentage points higher than that in the first two months of 2019.

Retail sales of units above Designated Size amounted to 1 trillion and 200 billion yuan, up 5.1% from the same period last year, and the growth rate was 1.6 percentage points higher than that in the first two months of 2019.

The retail sales of clothing, shoes, hats, knitwear and cosmetics were above 108 billion yuan and 28 billion 100 million yuan respectively, which increased by 6.6% and 14.4% respectively over the same period of last year. The growth rates respectively increased by 4.8 percentage points and 5.5 percentage points over the first two months of 2019.

In the wake of the industry boom, the opportunities for textile and garment sector are also optimistic by many agencies. Orient Securities said: with the gradual weakening of the high base effect, the economic environment will rebound and the tax reduction will be driven positively, and the wealth effect of asset price stabilization will be superimposed. The industry growth rate will start to improve in the two quarter from the bottom of the first quarter, and the performance of the sector is expected to be better than the first quarter in the trend of market risk appetite continuing to rise. Especially, the leading products of various categories will have the opportunity to repair the valuations.

At present, there are two main lines of interest: 1. mid term: low valuation and long term prospects, some of which have been included in the MSCI index (long term impact on Industry Valuation), such as Hai Lan's home, Semir clothing, and song and so on; and 2. short term: it is recommended to pay attention to a company with good quarterly expectations, such as the park, Antarctica, bibon and land.

Tianfeng Securities pointed out that the valuation of the textile and clothing sector still has relative advantages, and continues to recommend performance inflection companies and industry growth stocks.

Guoxin Securities pointed out: the fundamentals are expected to build the bottom and optimize the subdivision of the plate.

Haitong Securities also believes that: through its own business adjustment, industry key indicators to achieve good performance reversal of the company, there is a greater probability of raising its valuation space, it is recommended to pay attention to 2018, 2019 or achievement reversal of the company, di Su fashion, American state dress, starting shares.