Xinhua fuzhou April 22 special telegram China's textile industry association deputy will ChangSunRuiZhe recently in fujian shishi says, China's textile industry will be in 1025 "planning", recently released, science and technology, brand, sustainable development, talent four outline will also have issued.

In SunRuiZhe joined the 14th strait textile clothing exposition and 2011 leisure clothing exposition of textile industry, said that the plan to reinvigorate our textile industry will be defined as "national economic pillar industries" "important minsheng industry" and "international competitive advantage obvious industries". "1025" period, textile industry will also be "strategic emerging industry is an important part of the fashion industry," and "important driving force".

According to introducing, since this year, China's textile and apparel maintain the fast growth momentum. Quarter, China's clothing shoes and hats, needles textiles retail sales for the 2014 billion yuan, an increase of CAAC statistics. The general administration of customs data show that the quarter, China's textile and apparel total export 486.27 billion, an increase of 23.96%, growth is 1-2 month 13.56% bounced significantly. Among them, the textile exports 201.65 billion, an increase of 32.71%, clothing and accessories 284.61 billion dollars, export 18.42% year-on-year.

"This shows our domestic market expectations, the main driving force effect unceasingly highlighting. Along with the Chinese people for a better life for the new expectations, domestic market laid a solid industrial upgrading the market foundation. Exports are a big increase, also contain overseas market demand of buoyancy signs." SunRuiZhe said.

Domestic market retail sales and exports advances also implied price increases the objective factors. This year SunRuiZhe said, a textile garment industry faced in suspense is: raw material prices, rising labor costs, the environment along the chain, cost can be uploaded transmission, and in consumptive terminal of the consumers.

SunRuiZhe said, China is undergoing a consumer ascension and consumption diversified period, rational and irrational consumption coexist, the price is empty tall with low cost of running both professional market together. Next, production the homogeneity product enterprise will face huge challenges, to regulate the cost of product quality and upstream resources and control of consumption tendency downstream piping, guide, strengthen brand enterprise supply chain management is industry development inevitable road, the key is innovation.

Zhongjin co: performance comprehensive high-growth textile plate market be worth to expect

Investment tip:

2011 growth of overall performance brand clothing plate is expected to grow from 2010 ascending to 42%, valuations 34 have fallen to historic lows, suggest bargain hunting, advance layout reversal quotations. April is a reported quarterly average growth will reach 40% and ROE over 20%, leading big consumer discretionary; "1025 domestic trade planning" and income tax adjustment of the promulgation of the growing expectations are likely. Long-term perspective, clothing consumption benefit residents income growth was more flexible, price volume JiSheng space is large, we prefer to do bigger and stronger teenagers sportswear sub industries, steady growth business leisure men and women shoes industry, and low base GaoCheng long home textile sub industries. Puts forward the "combination" key recommendation of 123.

Reason:

April is quoted annals, a quarterly, clothing companies generally realize rapid growth. 2010 annual profit growth industry average of 34%. Since this year sales strong growth, a quarterly performance will be more outstanding, average can reach by around 40%. Is expected to last year under low base (realized the net income growth, several times more than 50%, fu Anna luo lai, mendale 45% above, with seven ones Wolf, good news bird more than 30%.

Early lock income, 2011 &equipment average annual earnings growth over 40 percent is guaranteed. Chun xia, salomon Smith barney and plump &equipment order respectively year-on-year growth's horse order more than 40 percent and 60%, home textile and recreational men's clothing are in more than 30%. The average net profit growth expected 2011 industry can be more than 40%.

Brand have prices ability, can maintain or improve profit margins. Goods and the different, clothing brand benefit consumption trends, can upgrade through pushing new products and improving product structure to improve all valence. JiSheng, quantity and price advantage brand cost pressures completely on to downstream, maintain high profit margins.

Brand clothing valuations already near or below historical average. 2011 24 times price-earnings ratio: with seven ones Wolf (history average 23.2 x), salomon Smith barney 24 times (an average of more than 28x), history of 26 times, three's horse home textile company 25 to 30 times, relative industry average more than 40% of the performance growth, investment value be underestimated.

Clothing companies for corporation, more incentive in place, performance release power enough. Most of the company's actual control and management is the largest shareholder, is with seven ones Wolf, salomon Smith barney, sen horses, fu Anna to companies such as professional managers team the implementation of equity incentive, so the company to control people, executives and shareholder's benefit highly unifies, investors can enjoy the company stable development is released in full, performance brought rich capital returns.

Valuations and recommend: we reaffirmed the a-share "1-2-3" combination recommend, very is expected to become the next round plate the advantage of rotation varieties.

Home 1 men's clothing company 24x2011PE) : with seven ones Wolf (attention brand construction and pipeline integration, order a rapid growth in the expected future three years, compound growth more than 30%.

Two sportswear company salomon Smith barney (24x2011PE), sen 26x2011PE) : horse (has the broad market, and equipped with obvious alternative to movement, is expected to the strong stronger; Benefit low-income faster income ascension, pipe sink and logistics base; Compound growth expected future three years above 40%, leading garment sector.

3 home textile company luo lai (3 1 x), mendale (24x), rich Anna (28x) : industry is in the brand development initial period, base small, growing faster, future space is large.

Stock 24x2011PE), indisputably bele (20x2011PE lang (the). Bele investment value lies in big capitalization, good fluidity and stable growth performance, 25 to 30 percent in women's shoes industry leader is absolute. Leon lang in rapid development stage, sold to keep healthy level, qing rate expected future three years compound growth more than 30%.

Source "Chinese textile nets"

Edit: Emma