The CITIC Securities Research Report pointed out that favorable policies exceeded market expectations, and consumption experienced a sharp rebound in the face of deep revisions in early valuations and low holdings. Looking ahead to the future market, the post-consumer cycle is characterized by remarkable characteristics, and expectations of economic recovery after a clear policy attitude will positively drive the consumption boom back up expectations. Consumer valuations are still at historically low levels after experiencing the release of early pessimism, and since 24Q4, the consumer sector itself is at a steady inflection point as pressure on most consumer sectors has eased. It is recommended to actively treat consumption recovery opportunities under policy changes. We continue to recommend an aggressive and defensive consumer internet, essential sectors such as dairy products and popular restaurants, which are undervalued and have high returns and are expected to take the lead in stabilizing operations, as well as a procyclical direction driven by the restoration of economic expectations: alcohol, human resources, hotels, etc. From the perspective of market sustainability and room for growth, it depends on the specific effects of subsequent policies after implementation, but it is currently at an inflection point driven by a clear policy shift.

The CITIC Securities Research Report pointed out that favorable policies exceeded market expectations, and consumption experienced a sharp rebound in the face of deep revisions in early valuations and low holdings. Looking ahead to the future market, the post-consumer cycle is characterized by remarkable characteristics, and expectations of economic recovery after a clear policy attitude will positively drive the consumption boom back up expectations. Consumer valuations are still at historically low levels after experiencing the release of early pessimism, and since 24Q4, the consumer sector itself is at a steady inflection point as pressure on most consumer sectors has eased. It is recommended to actively treat consumption recovery opportunities under policy changes. We continue to recommend an aggressive and defensive consumer internet, essential sectors such as dairy products and popular restaurants, which are undervalued and have high returns and are expected to take the lead in stabilizing operations, as well as a procyclical direction driven by the restoration of economic expectations: alcohol, human resources, hotels, etc. From the perspective of market sustainability and room for growth, it depends on the specific effects of subsequent policies after implementation, but it is currently at an inflection point driven by a clear policy shift.