Ge Long Hui·2026-01-06 07:20Core Viewpoint - UBS reports that Hainan's duty-free sales from January 1 to 3 increased by 129% year-on-year to 712 million yuan, with the number of duty-free shoppers rising by 61% [1] Group 1: Sales Performance - Duty-free sales growth is attributed to the relaxation of shopping policy restrictions for local residents and departing travelers in Hainan since October last year [1] - The average duty-free spending per person is estimated at 8,527 yuan, reflecting a year-on-year increase of 42.5% [1] - The quantity of purchased items also saw a year-on-year growth of 52.4%, indicating strong consumer demand [1] Group 2: Product Categories and Government Support - The increase in average spending is driven by luxury categories such as clothing, footwear, handbags, jewelry, and mobile phones [1] - Local government continues to provide subsidies for duty-free shopping, further stimulating consumer spending [1] Group 3: Investment Outlook - UBS maintains a positive outlook on China Duty Free Group's A-shares and H-shares, setting target prices at 99.59 yuan and 90.73 Hong Kong dollars, respectively, with a "buy" rating [1] - The firm is also optimistic about Shanghai Airport, as new contracts may lead the company back to a high growth trajectory, with no significant capital expenditures expected, which could improve return on equity [1]