社会服务行业双周报：端午将至，中短距离出行或为主流-20250527

Investment Rating - The report maintains an "Outperform" rating for the social services industry, expecting it to perform better than the benchmark index in the next 6-12 months [51]. Core Insights - The social services sector experienced a decline of 2.13% in the last two trading weeks, ranking 28th among 31 industries in the Shenwan classification, underperforming the CSI 300 index by 3.07 percentage points [1][11]. - The upcoming Dragon Boat Festival is anticipated to sustain high travel demand, with significant growth in domestic travel bookings, particularly in short-distance trips [2][29]. - The report highlights the recovery of the cross-border travel market, which is expected to boost airport duty-free sales and accelerate the introduction of new city duty-free policies [2][29]. Market Review & Industry Dynamics - The social services sub-sectors, including tourism and retail, all experienced declines, with the largest drop in professional services at -3.72% [17]. - Domestic flight operations saw a slight decrease of 2.56% week-on-week, but international flights have recovered to 85.84% of 2019 levels [1][29]. - The report notes a significant increase in domestic travel bookings for the Dragon Boat Festival, with a 23% year-on-year growth in surrounding travel reservations [29]. Investment Recommendations - The report suggests focusing on companies with strong earnings growth potential in the travel chain and related industries, including Huangshan Tourism, Lijiang Co., Songcheng Performance, and others [2][44]. - It also recommends hotel brands benefiting from business travel recovery, such as Junting Hotel and Jinjiang Hotel, and companies involved in the recovery of dining and banquet demands [2][44]. - The report emphasizes the potential of city duty-free stores and local consumption brands, as well as companies in the exhibition and performance sectors [2][44].