Investment Rating - Investment recommendation: Outperform the market (maintained) [7] Core Viewpoints - The social service sector's institutional holdings are at historical lows, with signs of stabilization in the hotel and employment sectors. The CPI's recovery in October reflects a warming consumer market. The report suggests focusing on "domestic demand cyclical + quality new consumption" [4][10]. - Recommended companies include Huazhu Group, Miniso, Guoquan, Green Tea Group, and Laopu Gold, which show continuous operational improvement and high valuation cost-effectiveness [4][10]. Summary by Sections 1. Market Tracking: Institutional Holdings at Historical Lows - The social service sector has underperformed the market by 9.78% year-to-date, with a year-to-date increase of 11.40% as of November 10, 2025. The sector ranks 19th among 31 primary industries [13]. - The fund holding ratio for the social service sector is 0.46%, down 0.64 percentage points from the previous quarter, indicating historical lows [17]. - October CPI data shows a year-on-year increase of 0.2%, signaling a recovery in consumer spending [22]. 2. Sub-industry Analysis: Industry Fundamentals Stabilizing - Employment: The hiring confidence index has improved, with values rising from 44.07 in August to 54.87 in October 2025 [29]. - Hotels: The RevPAR growth rate has shown improvement, with a year-on-year increase of 4.4% in the 44th week of 2025 [39]. - Duty-Free: The new duty-free policy in Hainan has led to a significant increase in shopping amounts, with a total of 5.06 billion yuan in sales during the first week of implementation [50]. - Dining: The pressure on customer spending appears to have eased, with service prices showing an upward trend [52]. 3. Investment Recommendations: Focus on Marginal Changes - The report emphasizes the importance of marginal changes and suggests actively investing in cyclical and new consumption leaders. Recommended companies include Huazhu Group, Miniso, Guoquan, Green Tea Group, and Laopu Gold, with a focus on those showing clear improvement trends [10][54].

Market Overview - A-shares experienced slight fluctuations with the main board performing better, as the Shanghai Composite Index rose by 0.53% to 4018.60, and the Shenzhen Component Index increased by 0.18% to 13427.61 [1][2] - The market turnover expanded to 2.19 trillion yuan, indicating a moderate increase in trading activity [1] Sector Performance - The hotel and catering, leisure food, medical beauty, and liquor sectors saw significant gains, while forestry, engineering machinery, electric motor manufacturing, and wind power equipment sectors faced declines [2] - The food and beverage industry attracted over 10 billion yuan in net inflows, with pharmaceuticals receiving over 7.2 billion yuan, and basic chemicals over 6.1 billion yuan [2] Future Market Outlook - Ping An Securities suggests that the current high-level fluctuations in A-shares are preparing for a mid-term upward trend, supported by positive economic expectations and stable institutional advantages [3] - Haitong International notes that the market's trading volume has not effectively increased, awaiting new catalysts for upward breakthroughs, particularly in the consumer and real estate sectors [3] Hot Stocks and Trends - The tourism sector saw a strong rally, with hotel and catering stocks leading the charge, as the sector index surged over 7%, marking the largest single-day increase in over a year [3][4] - The release of the 2026 holiday schedule led to a significant increase in domestic flight and hotel search volumes, with some searches doubling compared to the previous day [6] - The liquor sector experienced a collective rise, with the index increasing over 3%, the largest gain in eight months, driven by stocks like Shede Spirits and JiuGui Liquor hitting the daily limit [6][7] Investment Insights - The structural adjustment of the economy is enhancing the role of consumption, which is expected to provide long-term recovery potential for the liquor market [7] - The MACD golden cross signal formation indicates positive momentum for certain stocks, suggesting potential investment opportunities [8]

Group 1: Global Hotel Industry Trends - The tourism industry in Europe, the Middle East, and Africa is experiencing record growth, with Africa's tourism sector seeing a double-digit growth rate in the first half of the year, particularly in South Africa and Egypt [2][3] - Mino International Group plans to develop and manage 50 new hotels in Egypt in collaboration with Sunrise Resorts and Hotels, with the first phase including four flagship hotels [2] - Hilton Group announced its expansion into sub-Saharan Africa, with plans to triple its hotel count on the continent to over 160 hotels in the coming years [3] Group 2: Asia-Pacific Market Developments - The Asia-Pacific hotel industry experienced a performance surge during the "super golden week" holiday, with significant increases in occupancy rates and revenue per available room (RevPAR) in Japan [5][6] - Huazhu Group and Jinjiang Hotels reported a combined guest reception exceeding 23.5 million during the holiday, with Huazhu achieving a 36% year-on-year increase in guest numbers [6] Group 3: Hotel Group Executive Changes - Several hotel groups announced executive appointments, including Shangri-La Group appointing Xu Haochun as Chief Development Officer for China and Marriott International naming Gautam Bhandari as Chief Development Officer for the Asia-Pacific region [9][10] Group 4: Third Quarter Financial Reports - Among ten monitored hotel groups, only half reported year-on-year profit growth for Q3 2025, with Jinjiang Hotels achieving a net profit of approximately 375 million yuan, a 45.45% increase [12] - Major international hotel groups like Marriott, InterContinental, and Hyatt saw RevPAR growth of less than 1%, while Wyndham experienced a 5% decline [12][15] Group 5: Hotel Asset Transactions - In October, 46 hotel assets were listed for sale or auction, with nine hotels having auction prices exceeding 100 million yuan, but no hotels were sold during the month [16][17] Group 6: Hotel Openings and Signings in China - In October, 245 new hotels opened in China, a decrease from 293 in September, indicating a market adjustment post-holiday [18] - The luxury and high-end hotel segment saw significant new openings, including multiple projects from Hilton and Accor [19][20] Group 7: Luxury Hotel Rankings and Analysis - The luxury hotel sector is focusing on brand rejuvenation and consumer engagement, with brands like Rosewood and Shangri-La launching new initiatives to attract younger generations [24][25] - The ABN Index for luxury hotels showed a decline in most metrics except for media and new media indices, indicating a need for improved customer engagement strategies [31][32]

Core Viewpoint - The hotel and catering sector experienced a significant increase of 7.5% on November 10, with Shoulv Hotel leading the gains, reflecting positive market sentiment in this industry [1] Market Performance - The Shanghai Composite Index closed at 4018.6, up 0.53%, while the Shenzhen Component Index closed at 13427.61, up 0.18% [1] - Key stocks in the hotel and catering sector showed notable price increases, with Shoulv Hotel rising by 10.01% to a closing price of 16.15, and Jinjiang Hotel increasing by 9.99% to 25.21 [1] Stock Performance Summary - Shoulv Hotel: Closing price 16.15, increase 10.01%, volume 717,500 shares, turnover 1.137 billion [1] - Jinjiang Hotel: Closing price 25.21, increase 9.99%, volume 527,300 shares, turnover 1.302 billion [1] - Junxiang Hotel: Closing price 23.33, increase 8.11%, volume 169,100 shares, turnover 387 million [1] - Other notable stocks include Xian Yinshi, Huatian Hotel, and Tongqinglou, with varying increases and trading volumes [1] Capital Flow Analysis - The hotel and catering sector saw a net inflow of 272 million in main funds, while retail and speculative funds experienced net outflows of 147 million and 125 million, respectively [1] - Jinjiang Hotel attracted the highest main fund inflow of 181 million, while Shoulv Hotel had a net inflow of 50 million [2] - Xian Yinshi and Junxiang Hotel also showed positive main fund inflows, while other stocks like Jining Hotel and Quanjude faced net outflows [2]

Investment Rating - The report highlights a positive investment outlook for the duty-free sector, particularly focusing on China Duty Free Group (中国中免) as a key investment opportunity [2][3]. Core Insights - The upcoming 2026 Spring Festival, which will be the longest in history, is expected to significantly boost the tourism market, with a surge in demand for long-distance and outbound travel [2]. - The initial effects of the new duty-free policy in Hainan are evident, with a reported duty-free shopping amount of 78.549 million yuan on the first day, marking a 6.1% increase compared to the previous day [2]. - The report emphasizes the importance of monitoring companies that are likely to exceed expectations in their Q3 reports, including Greenlink Technology (绿联科技) and Jiajiayue (家家悦) [2]. Summary by Relevant Sections Duty-Free Sector - The report indicates that the new duty-free policy has led to a notable increase in shopping activity, with 54,800 items sold and 12,700 visitors on the first day of implementation [2]. - China Duty Free Group is highlighted as a key focus for investment due to its strong market position [2]. Jewelry and Gold - The report notes significant price fluctuations in gold, with leading jewelry brands like Chow Tai Fook (周大福) and Lao Feng Xiang (老凤祥) raising prices substantially [2]. - Consumers are reportedly buying gold at lower prices, benefiting companies such as Cai Bai Co. (菜百股份) and China Gold (中国黄金) [2]. Retail and E-commerce - The report mentions a 13-fold increase in order volume for the top 300 brands on JD.com during the Double Eleven shopping festival [2]. - Companies like Focus Technology (焦点科技) and Anker Innovations (安克创新) are identified as key players in the e-commerce sector [2]. Education Sector - The report highlights the ongoing education reform and suggests focusing on companies like Xueda Education (学大教育) and Tianli International Holdings (天立国际控股) [2]. AI and Optical Technology - Continuous iterations in AI glasses technology are noted, with a focus on companies like Conant Optical (康耐特光学) [2].

Market Overview - The Shanghai Composite Index closed at 4018.60 points, above the annual line, with a change of 0.53% [1] - The total trading volume of A-shares reached 2,194.371 billion yuan [1] Stocks Breaking Annual Line - A total of 112 A-shares have surpassed the annual line today, with notable stocks showing significant deviation rates [1] - The stocks with the highest deviation rates include: - Shede Liquor: 9.90% - Binhai Energy: 8.36% - Pinwo Food: 6.38% [1] Detailed Stock Performance - The following table summarizes the performance of stocks that broke the annual line: - Shede Liquor (600702): Today's change of 10.01%, turnover rate of 7.58%, latest price 65.63 yuan [1] - Binhai Energy (000695): Today's change of 9.96%, turnover rate of 5.02%, latest price 12.47 yuan [1] - Pinwo Food (300892): Today's change of 8.84%, turnover rate of 16.98%, latest price 36.70 yuan [1] - Other notable stocks include: - Haida Co. (300320): 8.77% change, 9.19% turnover, latest price 10.91 yuan [1] - Huachao City A (000069): 9.92% change, 3.74% turnover, latest price 2.66 yuan [1] Additional Stocks with Minor Deviations - Stocks with smaller deviation rates that just crossed the annual line include: - Wanxin Media: Minor deviation rate [1] - Chengdu Bank: Minor deviation rate [1] - China Publishing: Minor deviation rate [1]

Market Overview - The Shanghai Composite Index closed at 4018.60 points, above the five-day moving average, with a gain of 0.53% [1] - The total trading volume of A-shares reached 2,194.371 billion yuan [1] Stocks Performance - A total of 1,028 A-shares have surpassed the five-day moving average today [1] - Notable stocks with significant deviation rates include: - Jindike (金迪克) with a deviation rate of 13.94% and a daily increase of 20.01% [1] - Online and Offline (线上线下) with a deviation rate of 11.70% and a daily increase of 20.00% [1] - Taipeng Intelligent (泰鹏智能) with a deviation rate of 10.05% and a daily increase of 13.62% [1] Additional Stocks with Notable Performance - Other stocks with notable performance include: - Zhongfutong (中富通) with a daily increase of 12.67% and a deviation rate of 8.54% [1] - Peking University Pharmaceutical (北大医药) with a daily increase of 10.02% and a deviation rate of 7.89% [1] - Dike Co., Ltd. (帝科股份) with a daily increase of 10.95% and a deviation rate of 7.85% [1] Summary of Deviation Rates - The report includes a detailed ranking of stocks based on their deviation rates from the five-day moving average, highlighting both high and low performers [1][2]

Group 1 - A-share market shows a divergence in hotspots, with consumer sectors like duty-free and food & beverage leading the gains, particularly China Duty Free Group hitting a two-year high [1] - The implementation of new duty-free policies in Hainan has resulted in a significant increase in shopping amounts and visitors, with a total of 5.06 billion yuan in shopping and 72,900 visitors, marking year-on-year increases of 34.86% and 3.37% respectively [1] - AI storage concept stocks have surged following a 50% price increase in NAND flash contracts by SanDisk, indicating supply tightness in the storage market [1] Group 2 - Market analysts predict rapid rotation of hotspots in the absence of policy and performance catalysts, with consumer sectors being crucial for economic stability [2] - The third-quarter reports of listed companies show resilience in fundamentals, highlighting structural strengths amid a focus on high-quality development and technological self-reliance [2] - The current tightening of overseas liquidity is not expected to lead to systemic risks, and A-shares are anticipated to maintain resilience supported by stable economic and policy expectations [2] Group 3 - Looking ahead to 2026, the restructuring of international monetary order and the AI revolution are expected to support the performance of Chinese assets, with a more balanced market style anticipated [3] - Recommendations for investment focus on three main lines: growth in prosperous sectors, breakthroughs in external demand, and cyclical reversals [3] - The A500 ETF is showing positive momentum, with significant gains in key stocks such as Li'an Micro, Jiuan Medical, and China Duty Free, indicating a strong performance in the A-share market [3]

Core Points - The Shanghai Composite Index closed at 4003.28 points, above the annual line, with a slight increase of 0.14% [1] - A total of 99 A-shares have surpassed the annual line today, with notable stocks showing significant deviation rates [1] Summary by Category Stock Performance - The top three stocks with the highest deviation rates from the annual line are: - Shede Liquor: 9.90% deviation, closing price at 65.63 yuan, with a daily increase of 10.01% and a turnover rate of 7.35% [1] - Binhai Energy: 8.36% deviation, closing price at 12.47 yuan, with a daily increase of 9.96% and a turnover rate of 4.90% [1] - Haida Co.: 6.84% deviation, closing price at 10.97 yuan, with a daily increase of 9.37% and a turnover rate of 7.63% [1] Additional Notable Stocks - Other stocks with significant performance include: - Huashang City A: 6.04% deviation, closing price at 2.66 yuan, with a daily increase of 9.92% [1] - Pinwo Food: 5.69% deviation, closing price at 36.46 yuan, with a daily increase of 8.13% [1] - North University Medicine: 5.58% deviation, closing price at 6.48 yuan, with a daily increase of 10.02% [1] Market Overview - The total trading volume of A-shares today reached 17996.71 billion yuan, indicating active market participation [1]

Group 1 - The tourism and consumer sectors are experiencing significant gains, with stocks like Huanlejia and Jinjiang Hotels hitting the daily limit, and Shede Liquor rising over 8% [1] - Consumer concept ETFs are leading the market, with the Tourism ETF (159766) showing a 5.19% increase, the highest among all ETFs [1][2] - Other ETFs in the tourism and consumer sectors also performed well, with several funds rising over 2% [1][2] Group 2 - The National Bureau of Statistics reported October price data, indicating a 0.2% month-on-month increase in the Consumer Price Index (CPI) and a 0.2% year-on-year increase, marking a shift from a 0.3% decline in September [2] - The Producer Price Index (PPI) also saw a month-on-month increase of 0.1%, the first rise this year [2] Group 3 - The implementation of new duty-free policies in Hainan has boosted market confidence, with the Hainan Free Trade Port set to officially start operations on December 18 [3] - CITIC Securities noted that the new duty-free policies will enhance the development of the duty-free industry over the next five years [3]