Core Viewpoint - Livestock stocks have collectively risen, with specific companies showing significant gains, indicating a positive market sentiment despite recent price adjustments due to temporary factors [1] Group 1: Stock Performance - Yuran Livestock (09858) increased by 6.71%, reaching HKD 3.34 [1] - Modern Farming (01117) rose by 4.2%, priced at HKD 1.24 [1] - Ecological Farming (01431) saw a 1.82% increase, now at HKD 0.28 [1] - China Shengmu (01432) gained 1.45%, trading at HKD 0.35 [1] Group 2: Market Analysis - CITIC Securities reported that the recent slowdown in dairy cow inventory reduction has led to a temporary price adjustment in livestock stocks, but this will not disrupt the underlying cyclical logic [1] - The dairy cow inventory is expected to continue its reduction trend, with the turning point for raw milk prices approaching as seasonal demand weakens and operational pressures on farms increase [1] Group 3: Future Outlook - Tianfeng Securities indicated that the current dairy cow capacity reduction may be nearing its end, with Q3 silage purchases potentially accelerating inventory clearance, leading to a rebound in raw milk prices [1] - Beef prices may also see a turning point, although various factors such as funding, confidence, and environmental regulations may affect the pace of restocking [1] - Companies with cow resources or those employing a "milk-meat linkage" model are expected to demonstrate stronger profitability, with recommendations to focus on Yuran Livestock, China Shengmu, Guangming Meat, Modern Farming, and Australia Asia Group [1]

Core Viewpoint - The livestock stocks are experiencing significant gains, with companies like Yuran Dairy, China Shengmu, and others seeing substantial increases in their share prices due to favorable market conditions and strategic agreements [1] Company Summaries - Yuran Dairy (09858) shares rose by 10.26%, reaching HKD 3.33 [1] - China Shengmu (01432) shares increased by 9.23%, reaching HKD 0.355 [1] - Original Ecology Dairy (01431) shares went up by 3.39%, reaching HKD 0.305 [1] - Modern Dairy (01117) shares rose by 2.36%, reaching HKD 1.3 [1] Industry Insights - Original Ecology Dairy announced an agreement with its controlling shareholder, China Feihe, to supply raw milk from 2026 to 2028, with proposed annual sales caps of RMB 3.1 billion, RMB 3.4 billion, and RMB 3.7 billion, which would account for 96% of total revenue [1] - The price of raw milk is expected to be no less than that offered to independent third-party customers [1] - Tianfeng Securities indicated that the current dairy cow capacity reduction may be nearing its end, with Q3 silage purchases potentially accelerating the clearing process, leading to a rebound in raw milk prices [1] - Beef prices may be at a turning point, but various factors such as funding, confidence, and environmental concerns could affect the willingness to restock, impacting future price increases [1] - Companies with cow resources or those adopting a "milk-meat linkage" model are expected to have stronger profitability [1] - Suggested companies to watch include Yuran Dairy, China Shengmu, Guangming Meat Industry, Modern Dairy, and Aoyuan Group [1]

Group 1 - The core viewpoint of the article highlights the rising stock prices of dairy companies, with significant increases observed in shares of YouRan Dairy, China Shengmu, and others [1] - YouRan Dairy's stock rose by 10.26% to HKD 3.33, while China Shengmu increased by 9.23% to HKD 0.355, indicating strong market interest in the sector [1] - Original Ecology Dairy announced a supply agreement with its controlling shareholder, China Feihe, for raw milk from 2026 to 2028, with proposed annual sales caps of RMB 3.1 billion, RMB 3.4 billion, and RMB 3.7 billion, representing 96% of total revenue [1] Group 2 - Tianfeng Securities noted that the current dairy cow capacity reduction may be nearing its end, with Q3 silage purchases potentially accelerating the clearing of marginal costs, leading to a rebound in raw milk prices [1] - Beef prices may be at an inflection point, but various factors such as funding, confidence, and environmental concerns could affect the willingness to restock, impacting future price increases [1] - Companies with cow resources or those adopting a "milk-meat linkage" model are expected to have stronger profitability, with recommendations to focus on YouRan Dairy, China Shengmu, Guangming Meat, Modern Dairy, and Aoyuan Group [1]