Guosen Securities(002736) 国信证券香港·2024-06-23 06:56Financial Data and Key Indicator Changes - The price of live pigs decreased by 1.51% to 18.22 yuan/kg as of June 21, 2024, compared to the previous week, while the price of piglets fell by 2.27% to 665 yuan/head [1][7] - The average price of white chicken increased by 2.28% to 7.17 yuan/kg, while the price of chicken eggs dropped by 4.09% to 3.52 yuan/kg [1][7] - The price of soybeans rose slightly by 0.19% to 4404 yuan/ton, while soybean meal prices fell by 3.31% to 3270 yuan/ton [1][7] Business Line Data and Key Indicator Changes - The pig farming sector is expected to see an upturn in the second half of the year, despite current price declines [2] - The white chicken market is under short-term pressure but is anticipated to recover alongside pig prices [2] - The yellow chicken supply remains at a low level, with demand gradually improving [2] Market Data and Key Indicator Changes - The national corn sales progress reached 94%, indicating a slight easing of supply pressure [1][7] - The domestic sugar price in Guangxi dropped by 0.92% to 6450 yuan/ton, reflecting a short-term oversupply [1][7] - Rubber prices decreased by 2.37% to 12565 yuan/ton, although they are up 29.74% year-on-year [1][7] Company Strategy and Development Direction - The company is focusing on the breeding layout and is optimistic about the commercialization of genetically modified seeds [2] - The meat product sector is expected to benefit from the initial phase of a price upcycle in pig prices [2] - The feed and pet sectors are anticipated to consolidate towards technology service-oriented enterprises [2] Management's Comments on Operating Environment and Future Outlook - Management highlighted the impact of adverse weather conditions and potential animal disease outbreaks as risks to the industry [2] - The overall sentiment remains positive for the second half of the year, with expectations of increased demand and reduced supply in the livestock sector [2] Other Important Information - The report emphasizes the importance of monitoring the impact of the rainy season on pig disease outbreaks in southern regions [1] - The investment recommendations include various companies in the breeding, poultry, and feed sectors, indicating a bullish outlook for these areas [2] Q&A Session Summary Question: What is the outlook for pig prices in the second half of the year? - Management expects pig prices to rise as supply decreases and demand increases, particularly in the context of seasonal trends [2] Question: How is the company addressing the risks associated with animal diseases? - The company is actively monitoring disease outbreaks and has implemented preventive measures to mitigate risks [2] Question: What are the expectations for the poultry market? - The poultry market is anticipated to recover in tandem with pig prices, with a focus on improving production efficiency [2]