According to the CITIC Securities Research Report, travel demand has remained high since 2024, and is one of the most prosperous tracks in the consumer industry where domestic demand is the main focus. Affected by price pressure during the rebalancing of the supply and demand pattern, the year-on-year increase in industry revenue and profit in the third quarter is expected to slow down compared to the second quarter. Looking ahead to the fourth quarter and next year, we are optimistic about the continued steady performance of travel, considering the weakening of base pressure, stabilizing supply patterns, and a clear trend of increasing the share of service sector consumption in the medium term. It is recommended to maintain the allocation of the OTA sector with strong fundamentals and at the same time increase the allocation cycle, which is expected to gradually usher in an inflection point in the hotel, human resources, restaurant sector, and high-quality individual stocks in scenic spots.

According to the CITIC Securities Research Report, travel demand has remained high since 2024, and is one of the most prosperous tracks in the consumer industry where domestic demand is the main focus. Affected by price pressure during the rebalancing of the supply and demand pattern, the year-on-year increase in industry revenue and profit in the third quarter is expected to slow down compared to the second quarter. Looking ahead to the fourth quarter and next year, we are optimistic about the continued steady performance of travel, considering the weakening of base pressure, stabilizing supply patterns, and a clear trend of increasing the share of service sector consumption in the medium term. It is recommended to maintain the allocation of the OTA sector with strong fundamentals and at the same time increase the allocation cycle, which is expected to gradually usher in an inflection point in the hotel, human resources, restaurant sector, and high-quality individual stocks in scenic spots.