Midea is not affected by the global lack of core. Why is the stock price falling when the sales volume of the whole network exceeds 16 billion?

Recently, Midea introduced the research of a number of investment institutions. As of 24:00 on June 18, 2021, the total sales of Midea exceeded 16 billion, ranking first in the home appliance industry in Tmall, JD.com and SUNING for nine years in a row. and in pinduoduo, Douyin, Kuaishou new channels to win the top sales list, the number of orders exceeded 20, 000 orders, transactions exceeded 70 million, of which pinduoduo increased by more than 130% year-on-year. In 2020, the share of Midea's major household appliances in the Chinese market has increased to varying degrees, of which the omni-channel share of the core category of household air conditioners has increased significantly, with an online market share of nearly 36%, ranking first in the network, and an offline market share of more than 33%. In the face of the current industrial environment, Midea will further optimize and adjust its product structure, making a continuous layout in the field of air conditioning cabinets, COLMO high-end air conditioners and household multi-online products, while actively improving the efficiency of large-scale production, reducing the cost of the supply chain, industrial Internet and digital construction and other means to absorb some of the rapidly rising pressure.

In the current hot field of new energy vehicles, Midea is also active in layout. On May 18th, Midea's Weiling Zero Automotive components officially launched the full line production of its three product lines of drive system, thermal management system and auxiliary / self-driving system, and officially launched five types of auto parts products of the three major product lines: drive motor, electronic water pump, electronic oil pump, electric compressor and EPS motor. Following the development concept of "listing generation, reserve generation and research generation", it uses more than 6000 patents to promote three major systems and five types of products to continuously advance, expand and extend a number of systematic, diversified and refined technical routes. to provide help for China's new energy vehicle industry to achieve corner overtaking.

At present, the world is facing a wave of core shortage. Midea, as one of the largest downstream customers in related fields, has established a long-term and stable cooperative relationship with upstream head suppliers, and relevant suppliers will give priority to supplying goods to the United States. at present, it has no impact on American production and order delivery. Secondly, there is a sound supply chain management system and professional team at the group level, and relevant supply plans have been arranged in advance with relevant suppliers to ensure a stable supply to the United States in extreme cases; in addition, Midea also has two chip technology companies in Shanghai and Chongqing, whose products cover chip technology in MCU, power, power, IoT and other related fields, and have strong technical strength.

Earlier, Midea announced that he Xiangjian, founder and actual controller of Midea, had completed the plan to increase his stake in Midea by 800 million yuan. In addition to increasing its holdings, Midea has also made a large number of stock buybacks before, and then Midea's share price has not improved. since June, Midea's share price has fallen for many days in a row, and on June 23, Midea's share price even hit a new low of 70.7 yuan for the year. Since Midea's estimate rose to a high of 106.40 yuan at the beginning of the year, its share price has continued to pullback. As of June 29, Midea's share price was at 71.46 yuan per share, down more than 30% from its previous high. Today, the net outflow of the main capital reached 505.25 million yuan.

Midea, as a leading enterprise of home appliances, actively distributes various product areas. At present, the price of raw materials has fallen, which is good for the home appliance industry. However, as the home appliance industry gradually enters the off-season, the future trend of Midea's share price remains to be seen.