Looking Forward To The 2020 Textile And Apparel Stocks, The Opportunity Lies In These Four Investment Lines.

Tianfeng securities issued a report that it was affected by the economic slowdown in 2019, the retail consumption of textile and clothing was weak, the overall plate performance was relatively dull, the fundamentals were under pressure, and the valuation continued downward. In 2019, Q3 accounted for 0.57% of all funds. In 2019 1-11, clothing, knitted shoes and hat textiles increased by 3% year-on-year, down 5.1% from the same period in 2018, compared with 0.2% in 19 years and 1-10 months. Although the fundamentals of textile and clothing are under pressure, the performance of leading companies in subdivision sector continues to be beautiful. Recommended Anta sports (02020), Shenzhou International (02313), Lining (02331) and other stocks. The following are the key areas of subdivision.

Sportswear plate

Tian Feng believes that sportswear is one of the fine industries that easily generate large cap companies. Anta sports (02020) and Lining (02331), which are potential sports brands in China, are given a "buy" rating. Anta sports main brand grew steadily, and its revenue grew by more than 35% in 2019. Anta's secondary brand FILA continues to grow at a high level, and FILA's overall pipeline growth is expected to grow by more than 50%. Other brands of Descente water is expected to reach 8-10 billion yuan. Tianfeng expects Anta to achieve net profit of 54.61, 73.64 and 9 billion 214 million yuan in 19-21 years, and EPS is 2.02, 2.73 and 3.41 yuan.

Lining's 19Q3 performance exceeded market expectations, and overall water flow achieved 30%-40% low segment growth. It is estimated that net profit in 2019-21 years is 12.79, 16.84 and 2 billion 359 million yuan respectively. EPS is 0.55, 0.73 and 1.02 yuan.

ODM leading enterprises

Tianfeng continues to be optimistic about ODM leading enterprises in the industry with stable international customers. Its main order is stable, ensuring the profitability of OEM enterprises is relatively stable. Shenzhou International (02313) and Junsheng group (603558, stock bar) are recommended for gradual release of capacity. Shenzhou's international orders and profitability were stable. In 2019, the proportion of the top four customers increased to 81.4%. It is expected that 2021 to 2022 will be a fast growth period.

Electricity supplier sub section

Compared with the traditional offline channels, the wind power industry is more efficient and more suitable for products with high cost performance. It is recommended that the company should continue to expand channels and expand the category of the company, which is mainly based on the electricity supplier channel, and will share the shares (300577 shares) and the Antarctic electricity supplier (002127 shares). Kai Run shares have become Nike's luggage suppliers.

Leisure leading brand

Tian Feng said that because of the continued weakening of consumer data, leisure leading brands are also in the adjustment period. It is expected that the 2020 performance will be restored. At present, the leisure leading brands Semir clothing (002563, stock bar) and Hai Lan home (600398, stock bar) have low valuation and sustainable attention. Semir children's clothing market remained 5.6% in 2018, and the leading position was stable. Hai Lan's home has maintained steady growth, achieving a 7.26% growth rate in the first three quarters.