KAIYUAN SECURITIES·2025-05-12 00:23Investment Rating - The investment rating for the retail industry is "Positive" (maintained) [1] Core Insights - The retail industry is experiencing a slow recovery in social consumption, with overall business pressure on retail enterprises. The report emphasizes the importance of emotional consumption and suggests focusing on high-quality companies in high-growth segments [4][27] - The report identifies key segments within the retail industry, including traditional retail, gold and jewelry, cosmetics, and medical aesthetics, each with unique dynamics and investment opportunities [4][27] Summary by Sections Retail Market Overview - The retail industry index rose by 0.88% during the week of May 6 to May 9, 2025, underperforming the Shanghai Composite Index, which increased by 1.92% [6][15] - The brand cosmetics sector showed the highest growth, with a weekly increase of 2.89% and a year-to-date increase of 15.91% [18][21] Investment Strategy - The report recommends focusing on high-quality companies in segments driven by emotional consumption, including: 1. Gold and Jewelry: Emphasizing brands with differentiated products and consumer insights, recommending companies like Laopuhuangjin, Chaohongji, and Zhou Dasheng [7][48] 2. Offline Retail: Highlighting companies that are actively transforming and exploring new models, recommending Yonghui Supermarket and Aiyingshi [7][48] 3. Cosmetics: Focusing on domestic brands with strong growth potential, recommending brands like Pola, Shangmei, and Juzi Biological [7][49] 4. Medical Aesthetics: Suggesting attention to differentiated product manufacturers and leading medical aesthetic institutions, recommending Aimeike and Kedi-B [7][49] Segment Analysis - Traditional Retail: The report notes that offline retail must leverage its strengths in customer service and emotional satisfaction to attract consumers back from online channels [4][28] - Gold and Jewelry: The industry is shifting from supply-driven to demand-driven, with emotional consumption becoming a key factor. High-end and fashionable gold segments are emerging as significant opportunities [4][36] - Cosmetics: The industry is stable in the short term, with a long-term trend favoring domestic brands. Emotional consumption is spreading across various cosmetic categories [4][41] - Medical Aesthetics: The industry is experiencing accelerated differentiation, with high-end products showing resilience due to their safety and scarcity [4][44]