Textile And Clothing Industry: Recovery After Peak Season, Bright And Stick To Long-Term Value

Guoxin Securities pointed out that the market was bright in the peak season in October, and the rally was strengthened in early November. The overall market rebounded in October. The textile and clothing sector rose strongly with the improvement of fundamentals, and the market sentiment further warmed up in early November. Short term "textile backflow" speculation cooling, while companies with excellent third quarter report and strong fundamentals in the fourth quarter significantly surpassed the market and continued to rise.

Investment suggestions: the fundamentals continue to improve, adhere to the pattern optimization, clothing consumption peak season performance and epidemic situation control gradually become clear, plate short-term and medium-term fundamentals continue to improve. In the long run, subdivided track, such as sports and children's wear, will continue to expand the penetration rate in the broad industry, and the competition pattern of the leader will be further optimized. Our Hong Kong stocks mainly recommend Shenzhou International, Anta sports, Li Ning, taobo, bosden and Baosheng international, and A-share recommends SEMAR clothing.