Investment Rating - The industry rating is "Positive" (maintained) [5] Core Views - The new consumption trend continues, focusing on low-priced/undervalued stocks with potential catalysts, particularly in the food and beverage sector. Key areas of focus include "category dividends in the food sector," "new channel drivers like membership supermarkets," and "new hotspots in health products" [2][16] - The traditional consumption represented by liquor may face pressure, with current recommendations for leading brands in the fragrance category [12][16] Summary by Sections Liquor Sector - The liquor sector is expected to face pressure in Q2, with current valuations remaining low. Recommended stocks include leading brands such as Guizhou Moutai, Wuliangye, and Shanxi Fenjiu for medium-term positioning [12][16] - Recent performance shows a decline of 0.84% in the liquor sector, with notable increases in stocks like Jinhui Liquor (+6.25%) and Huangtai Liquor (+5.03%) [3][22] - Guizhou Moutai has launched new products at the 2025 Osaka World Expo, indicating ongoing brand expansion efforts [4] Consumer Goods Sector - The consumer goods sector continues to show potential, with a focus on stocks like New Dairy, Jin Zai Food, and Aijia Food. The sector saw a rise in non-dairy beverages (+1.33%) and meat products (+1.30%) [2][22] - The overall market sentiment remains positive, with a recommendation for leading stocks in the retail transformation and cost cycle opportunities [16] Market Performance - From June 3 to June 6, the CSI 300 index rose by 0.88%, with the non-dairy beverage and meat product sectors leading the gains. In contrast, other liquor categories saw declines [22] - The valuation levels in the food and beverage industry have adjusted, with the industry trading at 21.64 times earnings, while specific segments like liquor are trading at varying multiples [28]