Group 1 - The core viewpoint of the articles highlights the positive trend in pig prices driven by the consumption peak season, with the average price of lean pigs reaching 12.49 CNY/kg, a 2.6% increase month-on-month [1] - The stock performance of the livestock breeding index shows mixed results, with leading stocks like Ruisheng Biological rising by 9.91% and the Livestock ETF priced at 0.68 CNY [1] - The overall pig farming sector is experiencing a "tug-of-war" state, where companies with cost advantages are more resilient in competition [1] Group 2 - According to Huaxi Securities, the average price of external three yuan pigs reached 12.7 CNY/kg, a week-on-week increase of 1.26%, indicating a steady rise in pig prices [2] - As of the end of October, the number of breeding sows in China was 39.9 million, a decrease of 1.1% month-on-month, reflecting ongoing adjustments in pig production capacity [2] - The self-breeding and external purchasing pig farming models have turned profitable, with profits of 7.39 CNY/head and 2.31 CNY/head respectively [2] Group 3 - The CSI Livestock Breeding Index (930707) includes companies involved in livestock feed, veterinary drugs, and livestock farming, reflecting the overall performance of listed companies in the livestock sector [2] - The top ten weighted stocks in the CSI Livestock Breeding Index account for 67.66% of the index, with major companies including Muyuan Foods, Haida Group, and Wens Foodstuffs [2]

Investment Rating - The industry investment rating is "Leading the Market - A" [6] Core Insights - The report highlights that the consumption peak for pork has not yet arrived, and attention should be paid to the rhythm of hog slaughtering by producers, which impacts pork prices [22][23] - The white feather broiler market is experiencing a downward trend in prices, with chick prices significantly lower due to insufficient parent stock and market pressures [34] - The aquaculture sector shows stable prices, with potential investment opportunities identified [41] Summary by Sections 1. Weekly Market Review - The agricultural sector experienced a decline of 3.27% this week, ranking 29th among the primary industries [14] - The animal health sector saw a notable increase, with a rise of 1.19% [17] 2. Industry Data Tracking 2.1. Swine Farming - The average price of live pigs is 12.69 CNY/kg, with a week-on-week increase of 1.60% and a two-week increase of 1.57% [21] - The average price of piglets is 425 CNY/head, with a week-on-week increase of 17.08% [21] - Daily average slaughter volume is 223,400 pigs, showing a week-on-week decrease of 1.27% [22] 2.2. Poultry Farming - The average price of white feather broilers is 7.59 CNY/kg, with a week-on-week decrease of 0.65% [34] - Chick prices have dropped to 2.74 CNY/bird, reflecting a significant week-on-week decrease of 23.68% [34] 2.3. Planting Sector - The average price of corn is 2359.57 CNY/ton, with a week-on-week increase of 0.26% [38] - The average price of domestic wheat is 2513.57 CNY/ton, remaining unchanged [38] 2.4. Aquaculture Sector - Prices for various aquatic products remain stable, with carp at 20.00 CNY/kg and crab at 260.00 CNY/kg, both showing no week-on-week change [41]

Group 1: Market Performance - A-shares experienced a slight increase with the consumer sector performing well, as evidenced by the leading consumer ETF (159928) rising by 0.39% and achieving a trading volume exceeding 360 million yuan [1] - The consumer ETF has seen a net subscription of 28 million units today, accumulating over 1.6 billion yuan in the past five days [1] Group 2: Economic Data - The National Bureau of Statistics reported that China's GDP for the year reached 14,018.79 billion yuan, reflecting a 5% growth year-on-year at constant prices [3] - In December 2025, the retail sales of consumer goods grew by 0.9% year-on-year, a decrease of 0.4 percentage points compared to November [3] - The per capita disposable income for residents in 2025 was 43,377 yuan, marking a nominal increase of 5% year-on-year, with a real growth of 5% after adjusting for price factors [3] Group 3: Consumer Trends and Policies - The focus on enhancing service consumption is evident, with a CAGR of approximately 9.6% in per capita service consumption from 2020 to 2024, expected to reach 46.1% of total consumption by 2024 [7] - The government aims to boost domestic demand and has outlined key tasks for 2026, emphasizing the importance of "domestic demand as the main driver" [3][7] - Policies are expected to support sectors such as elderly care, cultural tourism, and sports, with a focus on new consumption scenarios and enhancing service quality [4][8] Group 4: Investment Opportunities - The consumer ETF (159928) is noted for its resilience across economic cycles, with a TTM price-to-earnings ratio of 18.91, which is lower than 99% of the historical data over the past decade [4][9] - The top ten holdings in the consumer ETF account for over 68.55% of its weight, with significant representation from leading liquor brands and agricultural companies [9][10] - The Hong Kong Stock Connect Consumer 50 ETF (159268) is highlighted as an efficient investment vehicle for the consumer sector, particularly appealing to the younger generation [10]

Investment Rating - The report provides an "Increase" rating for the industry, indicating a positive outlook compared to the Shanghai and Shenzhen 300 Index [46]. Core Insights - The report highlights the strengthening of pig prices, with a current price of 12.69 CNY/Kg, reflecting a week-on-week increase of 0.20 CNY/Kg. Factors contributing to this trend include a decrease in sales plans for January and the anticipated impact of a nationwide cold wave starting January 19, which may further boost prices [5][10]. - In the planting sector, corn and soybean prices have shown stability, with corn prices at 2364 CNY/ton (up 0.5% week-on-week) and soybean prices at 4072 CNY/ton (up 0.6% week-on-week). The report expresses optimism for the recovery of planting sector profitability [3][10]. - The pet industry is experiencing increased attention due to major exhibitions, with significant events scheduled in March 2026, which are expected to catalyze new product launches from leading domestic brands [4]. Summary by Sections Livestock - The report notes that pig prices are on the rise, with a current price of 12.69 CNY/Kg, up 1.60% week-on-week and 10.06% month-on-month, although down 19.33% year-on-year. The report suggests that the cold wave and increased demand during the lunar month will be key factors influencing future price movements [5][10]. - Recommended stocks in the livestock sector include Muyuan Foods, Wens Foodstuffs, and others, with a focus on companies that are expected to benefit from the recovery in pig prices [5][40]. Planting - The report indicates that corn and soybean prices are stable, with corn at 2364 CNY/ton and soybeans at 4072 CNY/ton. The planting sector is expected to see a recovery in profitability, particularly benefiting seed companies that focus on high-quality products [3][10]. Pet Industry - Major pet exhibitions are set to take place in March 2026, which are expected to enhance market interest and lead to new product launches from top brands. The report emphasizes the potential for growth in the pet sector due to these events [4][10]. Key Company Coverage - The report includes earnings forecasts and valuations for key companies in the industry, with all covered companies receiving an "Increase" rating. Notable companies include Muyuan Foods, Wens Foodstuffs, and various firms in the pet and agricultural sectors [40].

Core Viewpoint - The company, Haida Group, ranks third in the Vietnamese feed market with a market share of 6.7% as of 2024, indicating a strong position and rapid market share acquisition through comprehensive service solutions, high-quality products, and efficient operations [1] Group 1 - The company has established a solid market position in Vietnam's feed market, leveraging its operational model to expand into surrounding countries [1] - The company aims to use its core market in Vietnam as a hub for further global expansion, allowing for the rapid replication of its proven operational model [1]

Group 1 - The core viewpoint of the article highlights the increasing demand for amino acids in various industries, particularly in animal feed, pharmaceuticals, and food sectors [1] - Huaheng Biological (688639.SH) confirmed that its L-valine and other amino acid products play a crucial role in promoting protein synthesis and maintaining normal metabolism and health in animals [1] - The company supplies its amino acid products to major clients, including Muyuan Foods and Haida Group [1]

Group 1 - The core viewpoint of the article indicates that the concentration in Vietnam's feed industry is expected to increase significantly, with the combined market share of the top five participants projected to rise from 47.0% in 2024 to 60.5% by 2029 [2] Group 2 - The article highlights that this increase in market concentration suggests a potential shift in competitive dynamics within the industry, which may impact pricing and market strategies among existing players [2] - The information was provided by Haida Group in response to investor inquiries on an interactive platform, indicating active engagement with stakeholders [2]

Group 1 - The core viewpoint of the article is that the company, Haida Group, is focused on providing an integrated product and service portfolio that includes feed, seedlings, and animal health products to meet the diverse needs of the agricultural industry [1] - The company is committed to offering production materials and technical services to agricultural producers and farmers [1]

Market Overview - The feed sector experienced a decline of 0.52% on January 16, with Aonong Biological leading the drop [1] - The Shanghai Composite Index closed at 4101.91, down 0.26%, while the Shenzhen Component Index closed at 14281.08, down 0.18% [1] Individual Stock Performance - The top gainers in the feed sector included: - Jinxinnong (002548) with a closing price of 6.40, up 4.07% on a trading volume of 612,000 shares and a turnover of 1.76 million [1] - Just Update (001313) with a closing price of 7.70, up 4.19% on a trading volume of 251,200 shares and a turnover of 191 million [1] - The top decliners included: - Aonong Biological (603363) with a closing price of 4.16, down 1.65% on a trading volume of 623,800 shares and a turnover of 261 million [2] - Tiankang Biological (002100) with a closing price of 7.07, down 1.26% on a trading volume of 247,400 shares and a turnover of 176 million [2] Capital Flow Analysis - The feed sector saw a net outflow of 71.01 million from institutional investors, while retail investors contributed a net inflow of 31.24 million [2] - The capital flow for individual stocks showed: - Jinxinnong (002548) had a net inflow of 21.44 million from institutional investors, but a net outflow of 26.24 million from retail investors [3] - Just Update (001313) had a net inflow of 20.81 million from institutional investors, with a net outflow of 25.93 million from retail investors [3]

Group 1 - The livestock farming industry in China is undergoing a significant transformation, with the Ministry of Agriculture and Rural Affairs and the National Development and Reform Commission calling for capacity reduction and operational control as of September 2025 [1][19] - The pig cycle typically follows a pattern of price fluctuations, with each upward cycle lasting about 1-2 years and downward cycles lasting about 1-3 years, indicating potential for price increases following supply reductions [1][19] - Current signals suggest that the pig farming industry is at a relatively low valuation, with indications that capacity reduction may accelerate [1][19] Group 2 - The CSI Livestock Farming Industry Index, launched on December 31, 2021, includes 50 listed companies in sectors such as livestock products, animal health, feed, meat products, and dairy products, serving as a benchmark for the overall performance of the livestock farming sector [2][20] - The index has a base point of 1000 and aims to reflect the core fluctuations of the livestock farming industry, with a high concentration of leading companies [4][23] - The top five constituent stocks account for 50.1% of the index, while the top ten account for 67.6%, indicating a significant concentration advantage in the industry [4][23] Group 3 - The CSI Livestock Farming Industry Index has outperformed its peers by 5 percentage points since its inception, with a current PE (TTM) ratio of 19.02, indicating a low valuation at the bottom of the cycle and potential for valuation recovery [6][26] - The index's historical performance has shown significant volatility due to the cyclical nature of the livestock farming industry [6][26] - The index is designed to provide a high-purity tool for tracking the cyclical movements of pig farming, benefiting from the resilience and profit elasticity of leading enterprises during current cost-focused cycles [4][23] Group 4 - The top ten constituent stocks of the index include major players such as Muyuan Foods (15.6% weight), Wens Foodstuff Group (14.7%), and Haida Group (9.1%), highlighting the dominance of leading companies in the livestock sector [25] - The index is positioned to benefit from ongoing policy incentives and signals of cyclical reversal, making it an attractive investment option for those optimistic about the long-term development of the livestock farming industry [33]