Smart wear is ridiculed behind the concept

Yesterday, the Shanghai and Shenzhen stock indices fell sharply, but wearable stocks rose again, Zhongjing Electronics (002579.SZ) and Connet (300061.SZ) daily limit, Zhongying Electronics (300327.SZ) rose 8.99%, Orbit (300053.SZ) rose 6.95%; Chaohua Technology (002288.SZ) and Derun Electronics (002055.SZ) also closed higher.

Despite the news stimulus, smart wear concept stocks have been subject to financial speculation, industry analysts have said that related companies have not received support for performance and orders, or purely speculative concepts may only be short-lived.

In the news, people in the industry revealed that the grand GEAK Watch that will be pre-sold will be equipped with a Bluetooth bone conduction headset. Prior to this, Google, Baidu and other large companies have the same trend in their innovative products Google Glass and Baidu Eye equipped with bone conduction headphones. Official documents show that Google Glass’s headphones will use "bone conduction" technology.

This technology ensures that the system command sound and the external environment sound do not interfere with each other: the system command sound is only accessible to the wearer, and the wearer can still clearly hear the external sound while listening to the system sound. For bone conduction technology, Google Glass will have a built-in vibration module that transmits sound through the part of the glasses that is in contact with the user's head. More optimistic expectations of the industry, bone conduction headphones will be promoted in the high-end consumer electronics market.

At the same time, researchers at the University of Tokyo reportedly developed a flex circuit that is only one-fifth the thickness of food wrap and lighter than feathers, which provides doctors with the possibility of implanting sensors into the body in the future. The research results are published in the latest issue of Nature.

Under the stimulation of the news, on July 26th, the flexible circuit board (FPC) rose suddenly and Chaohua Technology and Dean Electronics all reached their daily limit.

It is understood that FPC is widely used in mobile phones, tablet computers, and wearable devices due to its features such as light weight, thin thickness, and bendable folding. Unlike ordinary printed circuit boards (PCBs), FPC uses a soft polymer film as the substrate. The most common substrates are polyimide (PI) and polyester (PET).

From the trading transaction data announced on the 26th, the flexible circuit stocks suffered substantial purchases of funds, and the sales of the top three funds of OBIT's sales department totaled over 70 million, and the top three were less than 10 million; In the first place, there are special seats for institutions with an amount of over 30 million, but there are 4 agencies dedicated to sell attendance, and the total amount exceeds 40 million, indicating that there are hot spots or differences.

Yesterday, on the Danbang Technology Dragon and Tigers list, an agency seat bought 10.16 million yuan, but on the sell list, the four agency seats and the Guotai Junan transaction unit sold a total of nearly 100 million yuan, which also showed that the organization has disagreed.

No performance support

Despite the news stimulus, smart wear concept stocks were hot to stir, but a brokerage electronics industry analyst told reporters that related companies did not receive performance and order support, or purely speculative concept, may only be short-lived.

From the perspective of performance, taking Zhongying Electronics as an example, Zhongying Electronics, which landed on the ChiNext on June 13 last year, changed its face in the year of listing. Last year, its operating income and net profit decreased by 29.14% and 61.76%, respectively.

In another example, Zhongying Electronics achieved a total revenue of RMB 65 million in the first quarter of 2013, an increase of 8.92% over the same period of the previous year, and a net profit of RMB 30.0 million (basic earnings per share of RMB 0.026), a decrease of 48.09% over the same period of the previous year. The company announced that this year's interim results for the "net profit of 14 million to 16 million yuan, down 23.78% to 33.31%."

Last year, Orbit's operating income and net profit fell 9.85% and 22.09%, respectively. In the first quarter of this year, it achieved a total revenue of RMB 38 million, a decrease of 0.36% from the same period of the previous year. In the first quarter of 2013, it achieved a net profit of RMB 0.09 billion (basic earnings per share of RMB 0.045), a decrease of 23.2% over the same period of the previous year.

The net profit of Connet in 2010, 2011 and 2012 decreased by 25.16%, 40.31% and 108.80%, respectively. In the first quarter of this year, it achieved a total revenue of RMB95 million, an increase of 32.75% over the same period of the previous year. A net profit of 0.01 million yuan (basic earnings per share of 0.01 yuan), a decrease of 24.63% over the same period of last year.

"Related stocks have no performance and order support. In the short term, the stock price is high, but at this time it is a good opportunity for shareholders to reduce their holdings." The analysts said.

In fact, there is indeed a case where the relevant concept stocks have shareholder reductions in the near future. OBIT announced a few days ago that the company received notification from Shanghai Lianchuang Yongxuan Venture Capital Co., Ltd., a shareholder holding more than 5% of shares, that the shareholder reduced the unqualified sales conditions of the company through block transactions on July 16 and July 17. Circulating shares are 2.05 million shares and 2 million shares.