Gree Electric (000651): Double 11 promotion is good for the leader
Event: Gree Electric Announcement on November 10 “11.
After the 11 “period, the profit of 3 billion US dollars triggered the industry to follow up the air-conditioning e-commerce promotion war.
Key points for investment: Air conditioner price war broke out during Double 11 November On November 10, Gree Electric announced “11.
During the 11 “period, 3 billion yuan will be used to combat low-quality and inferior products. The lowest prices for inverter air conditioners and fixed-frequency air conditioners will be 1599 and 1399 yuan respectively.The price of air conditioners is as low as 1249 yuan, which is small.
The price of 5 air conditioners is as low as 1399 yuan; Haier air conditioner 1.
The price of 5 air conditioners is as low as 1699 yuan, and the lowest price of 1 air conditioner is as low as 1499 yuan. The price of a Hisense air conditioner is 1499 yuan, which is 900 yuan.Decrease of 700 yuan;
The 5 inverter air conditioner has a minimum of 1599 yuan during the event, a drop of as high as 900 yuan.
Taking Double 11 promotion as a starting point, the price war in the air-conditioning industry has become more intense, and it is estimated that industry profits will be affected as a result.
The high inventory and decline in sales are mainly due to the data of AVC, which is reported. From January to September this year, the domestic air-conditioning market retailed US $ 159.6 billion, a decrease of 4%.
In terms of exports, according to industry online data, from January to September, the combined sales volume of the company was 47.49 million units, with 1 inserted each time.
Overall, the domestic and foreign sales of the air-conditioning industry have shown a range.
In the same period, the industry inventory has reached about 杭州桑拿 40 million units. The high inventory pressure and the overall sales volume of the industry and the gradual industry price war have become more intense.
The promotion battle is conducive to the expansion of the industry oligarch. From the perspective of the promotion results, 11.
11 Gree air-conditioning category-wide network Initially, Gree’s full-category platform-wide category exceeded 4.1 billion, with an increase of 200%. The promotion war has promoted the market’s further concentration on oligopoly companies.
Therefore, it is predicted that the company’s revenue and profit will continue to grow at a low rate this year, with an EPS of 4.
67 yuan, PE is 12.
3 times, maintaining the recommended level.
Risks suggest that domestic consumption is sluggish, exports are blocked, and the industry’s price war 南宁桑拿 exceeds expectations.