TV panel needs to see Wang! May or May Usher in Breakout Point

Mainland China's May 1 promotion season is approaching, making the mainland color power plants gradually increase the number of TV panel purchases, which will make the demand for TV panels from Qzone and AUO in the second quarter of 2017 larger than the first quarter, and it is expected to maintain the stability of panel prices. Double Tiger's profit in the second quarter has the opportunity to maintain a high level. Research institutes indicated that the peak season for the May 1st traditional promotion will come, and the demand for the mainland color power plants will gradually increase. It is expected that the number of LCD TV panels purchased by the mainland color power plants in the second quarter of 2017 will be greater than that in the first quarter.
Affected by the good demand for television panels, large-size TV panels still showed a rising trend in late March 2017. The 65-inch TV panel is expected to increase by around US$10, while the 49-inch, 50-inch and 55-inch TVs are flat or up by about US$2. Other TV panels were flat. As for the monitor panel, due to the off-season effect, it fell by 0.5 US dollars, and the number of notebook panels may be flat or slightly lower.
Innolux's profit in the fourth quarter of 2016 was nearly RMB 14 billion, a single-quarter high since the merger. AUO’s profit in the fourth quarter of 2016 was also RMB 11.56 billion, which was more than that in the previous quarter, due to the panel for the first quarter of 2017. The price is still showing a pattern of upswing, which will keep Inco's profits in the first quarter of this industry at an upscale level, and may even have highs.
In the second quarter of 2017, TV panel demand is expected to increase, panel prices are expected to remain stable, and the level of profitability of panel dual tigers will have a chance to be maintained. Looking forward to the second half of 2017, it is expected that the new capacity of the mainland panel makers will soon be reached. The fourth quarter will only be used to produce goods. Therefore, 2017 panel makers will be profitable and have higher chances than 2016.
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