According to Cailianshe news on September 13th, the home appliances sector in the Hong Kong stock market showed strong performance today, returning to an upward trend in the short term.

At the close of trading, TCL Electronics (01070.HK) and Haier Smarthome (06690.HK) both rose more than 3%, JS Global Life (01691.HK) rose over 2%, Skyworth Group (00751.HK) and Hisense Home Appliances (00921.HK) followed the uptrend.

On the news front, the National Development and Reform Commission and the Ministry of Finance issued the "Measures to provide support for large-scale equipment upgrades and old-for-new consumption". It explicitly proposes to "coordinate the arrangement of approximately 300 billion yuan of super long-term special national debt funds to support large-scale equipment upgrades and old-for-new consumption". Recently, many regions have introduced new measures to support old-for-new consumption, and the market expects that the subsequent performance of the home appliances industry will be driven.

According to incomplete statistics, as of now, approximately 20 regions nationwide have introduced detailed implementation plans. Since August, policies for old-for-new consumption have been implemented successively in Hubei, Tianjin, Jilin, Chongqing, Henan, Beijing, Guangdong, Hunan, and other regions.

The home appliances team at Guolian Securities pointed out in their report this week that this round of old-for-new consumption measures is on par with the government's previous "home appliances going to the countryside" policy. Since August, local regulations have been continuously implemented, and the policy is expected to start yielding results in September.

It should be noted that the domestic home appliances market experienced a decline in August due to high base numbers and weak domestic sales, which led to a decline in home appliances stocks. Yang Ce, an analyst at China Galaxy Securities, pointed out in a recent report that the old-for-new consumption policy has boosted domestic sales, while exports continue to be strong. With the decline in valuation, leading companies in the sector have a certain safety margin.

Guolian Securities also stated that in the past two months, mortgage rates have been decreasing, and there are signs of a rebound in residential sales in the short term. The impact of channel changes on market share is worth paying attention to, and leading companies may gain market share in the process of expanding sales channels and integrated marketing channels, with the expectation of achieving better growth in new product categories.

Analysts Hong Jiran and Zhou Fangzheng of Everbright Securities stated in their recent reports that overall, the valuation level of white goods is one of the lowest among consumer sectors, and the stability of performance will drive the valuation center to return upwards. It is recommended to overweight.