Lu Tai A Rose 40% This Year. Textile Industry Is Expected To Achieve "Davies Double Click".

"P", as the world's largest producer of high-grade yarn dyed fabrics, Lu Tai A has taken the investor perspective back to a target= "_blank" href= "//www.sjfzxm.com/" > textile "/a" yesterday, with a 8% increase and a year high.

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< p > over the past time, the textile "a target=" _blank "href=" //www.sjfzxm.com/ "clothing" /a "industry has been severely damaged due to the low export sales and the steep rise in cost. Many investors have even eliminated it from the stock selection team.

However, since the end of last year, the operation of the industry has started to improve. It is reflected in the stock price, represented by Lu Tai A, and has risen quietly since December last year. The stock has risen by 39.30% this year.

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< p > if the performance of Lu Tai A is a pleasant surprise, then the rise of textile H-shares may make domestic investors beat the breast.

As the largest knitwear manufacturer in China, Shenzhou International rose 66% and 50% respectively last year and this year, and Hong Kong textiles, one of the largest suppliers of core cotton textiles, rose 6.11% yesterday, up 284% from last year, according to the HKEx data.

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< p > analysts say that behind the rise of textile manufacturing stocks is the improvement of the market's performance expectations. Domestic investors are still stuck in the old concept of textile and garment export downturn. It is not known that the leading enterprises in the industry have already been internationalized, optimizing the allocation of resources, reducing costs and expanding sales channels.

Stock prices such as Shenzhou International, Tianhong textile, and mutual textiles listed in Hongkong have continued to rise, reflecting the change of overseas investors' understanding of the industry.

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< p > it is worth noting that there are many situations in which textile manufacturing enterprises, especially cotton spinning and wool spinning enterprises, have improved their profits.

First of all, Shenzhou International, Tianhong textile and other factories in Vietnam, Kampuchea and other regions, so that the advantages of its low labor force still exist, and these areas often give overseas investment enterprises greater tax incentives, which inspire more labor-intensive enterprises to "go out".

Secondly, cotton prices have declined to some extent since last year, causing the cost of textile manufacturing enterprises to decline.

Third, the textile manufacturing industry has continuously improved its concentration. For example, Lu Tai owns a complete industrial chain from cotton planting to spinning and weaving and garment making.

In addition, textile and garment exports are also improving, and total exports grew by 16.5% in 1-4 months.

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< p > industry insiders say that the current enterprise order situation is improving, and the turning point of operation is expected to be reflected in the two quarter. It is estimated that the leading valuation repair market will continue.

High performance resilience coupled with rising valuations, the textile industry is expected to achieve "Davies double click".

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