智通财经网·2025-12-12 03:36Core Viewpoint - The report from China Galaxy Securities emphasizes the importance of the "14th Five-Year Plan" for the consumption industry, highlighting the need to focus on medium- to long-term consumption goals and the specific policies related to consumption expected to be implemented by 2026 [1][2]. Group 1: Policy Developments - The Central Economic Work Conference held on December 10-11, 2025, underscored the need to prioritize domestic demand and build a strong domestic market, implementing actions to boost consumption and develop plans for increasing urban and rural residents' income [2][4]. - The government has been actively promoting various policies to stimulate consumption, including the introduction of a special fund of 150 billion yuan for consumption upgrades and an additional 300 billion yuan in 2025 for similar initiatives [3][4]. Group 2: Consumption Trends - The report anticipates significant changes in service consumption by 2026, with a more favorable outlook compared to goods consumption, driven by recent policies aimed at enhancing service consumption and removing unreasonable restrictions in the consumption sector [1][3]. - The retail sales growth rate showed a year-on-year increase of 2.9% in October 2025, although it experienced a slight month-on-month decline of 0.1 percentage points, indicating ongoing challenges in the consumption market [3]. Group 3: Investment Recommendations - The report suggests focusing on high-dividend quality companies during market style shifts, as well as companies with alpha potential in various segments, including new consumption in the social service sector and food and beverage industries [5]. - Specific recommendations include companies like Gu Ming and Da Mai Entertainment in the new consumption sector, and Midea Group and Haier Smart Home in the home appliance sector, which are noted for their high dividend yields [5].