Juewei Food (SH:603517) Sou Hu Cai Jing·2025-11-09 01:41Core Insights - The article outlines five key criteria for selecting consumer stocks, emphasizing the importance of compliance, healthy business models, genuine cash flow, alignment with consumer trends, and strong anti-cyclical capabilities. Group 1: Compliance and Business Model - Compliance is the baseline; companies with a history of financial fraud or regulatory violations should be avoided, regardless of their past profitability [3] - A healthy business model requires fair treatment of franchisees and suppliers; squeezing profits can lead to business failure [3] Group 2: Financial Health - Cash flow must be genuine; companies should not be misled by apparent profits if cash flow is negative or accounts receivable are high [3] Group 3: Market Trends and Resilience - Companies must adapt to consumer trends, focusing on health, convenience, and value; failure to innovate can lead to obsolescence [4] - Strong anti-cyclical capabilities and unique advantages are essential for survival during market fluctuations; brands, unique formulas, and distribution channels can provide a competitive edge [4] Group 4: Investment Strategy - The five criteria can help filter out 80% of problematic companies, simplifying the investment analysis process for consumer stocks [4]