Main review and Prospect of one week: during the Spring Festival of the 21st year, the sales volume of key retail and catering enterprises nationwide was about 821 billion yuan, up 28.7% year on year. In February, China's Manufacturing Purchasing Managers' index (PMI) was 50.6%, down 0.7pct from the previous month, and was on the boom and bust line for 12 consecutive months. Benefited from the Spring Festival consumption season and the real estate post cycle, the plate continued to boom upward. It is suggested to pay attention to the undervalued and basically good Baima stocks. Long term optimistic about Hailan home, Senma clothing, biyin lefen, Desu fashion, Anta sports. In the near future, we can focus on the recovery opportunities of home textile industry from January to February, and recommend rolai life, mercury home textile and fuana.
Last week, the textile and garment sector outperformed the market. From February 26, 2021 to March 5, 2021, Shenwan textile and garment index increased by 2.98%, stronger than Shenwan a index of 3.16pct. Among them, the clothing and home textile index rose 3.67 PCT, stronger than the Shenwan a index of 3.85 PCT; the textile manufacturing index rose 1.70% last week, stronger than the Shenwan a index of 1.88 PCT.
Recent key review
Functional skincare products industry in-depth report: the functional skincare products industry has a high momentum, and domestic brands are growing rapidly. It is expected that the growth rate will remain higher than that of other cosmetics categories in the next five years. The consumer stickiness of categories is strong, and the industry concentration is much higher than that of other cosmetics categories. Under the wave of "the rise of domestic products", domestic brands are expected to be the next city. It is suggested to pay attention to Bertoni. Betaine's compound growth rate of net profit attributable to its parent company from 2017 to 2019 is 63.7%, and Winona city accounts for 20.5% in 19 years, ranking first. It is estimated that the reasonable PE range of the company in the secondary market is about 80-100x in 21 years after its listing.
Comments on the performance of Senma clothing: 1) the annual performance decline in the past 20 years was further narrowed, with a revenue of 15.17 billion yuan, a year-on-year decrease of 21.56%; the net profit attributable to the parent company was 800 million yuan, a year-on-year decrease of 48.21%. 2) Thanks to the divestiture of overseas loss making business and the improvement of original business on a month on month basis, the company achieved a revenue of 5.72 billion yuan in the fourth quarter, a year-on-year decrease of 6%; the net profit attributable to the parent company was 590 million yuan, a year-on-year increase of 142%. 3) Adult clothing continued to adjust, children's clothing resumed rapid growth; e-commerce channels accelerated, supply chain reform showed initial results, children's clothing business leader position was stable, divested of overseas loss business, fully reduced operational risk, maintained the "buy" rating.
Tracking data of Amoy in February: 1) skin care products: the total sales of skin care products on tmall platform in February reached 5.59 billion yuan, a year-on-year decrease of 13.0%, which was significantly lower than that in January; 2) cosmetics: the total sales of cosmetics reached 2.8 billion yuan, a year-on-year increase of 22.2%, which was significantly higher than that in January; 3) clothing: 21 years 2 In March, the clothing sales of Alibaba platform increased strongly, with the total sales of men's wear of Taoxi network reaching 7.44 billion yuan, a year-on-year increase of 158.9%; the total sales of women's wear reaching 19.72 billion yuan, a year-on-year increase of 102.0%; the sales turnover of children's wear reaching 3.2 billion yuan, a year-on-year increase of 127.0%; 4) sports shoes and clothing: the total sales of tmall platform sports shoes and clothing reached 28.2 billion yuan in February The growth rate of ADI increased to 26%, that of Nike increased to 51%, that of Anta increased to 106%, and that of FILA increased to nearly 150%.
Investment suggestions: benefiting from the Spring Festival consumption season and the real estate post cycle, the textile and clothing sector continues to boom. It is suggested to pay attention to the undervalued and basically good Baima stocks. Recommendations: 1) clothing: Hailan home, Senma clothing, Anta sports, biyin lefen, Desu fashion; 2) home textiles: rolai life, mercury home textiles, fuana; 3) cosmetics and e-commerce: Huaxi biology, aimike, pelaya, Qingsong shares, it is recommended to pay attention to the upcoming effective skin care products leader betaine; 4) textile manufacturing: Jiansheng group, it is recommended to pay attention to shenzhouguo Jihe will soon be listed on the domestic shoes and clothing ODM leading Huali shares.
Risk warning: if New Coronavirus pneumonia is infected for a long time, its performance may not be as good as expected.
