Market review: from March 7 to March 11, 2022, CITIC consumer service industry index fell by 8.03% as a whole, ranking the 30th among all CITIC primary industry indexes, losing about 3.8 percentage points to the CSI 300 index in the same period. Among the segments of CITIC consumer service industry, comprehensive services, tourism and leisure, education, hotel and catering fell by 4.69%, 7.05%, 9.56% and 11.93% respectively, outperforming the CSI 300 index. There were 11 listed companies with positive earnings in the industry, and the top five were China United Travel Co.Ltd(600358) , The Great Wall Of Culture Group Holding Co.Ltd.Guangdong(300089) , Xi’An Catering Co.Ltd(000721) , Tibet Tourism Co.Ltd(600749) , Shenzhen Kingsun Science & Technology Co.Ltd(300235) , up 16.67%, 7.39%, 4.08%, 3.59% and 2.57% respectively. There were 43 companies that achieved negative returns, among which the top five listed companies were Songcheng Performance Development Co.Ltd(300144) , Dalian My Gym Education Technology Co.Ltd(002621) , Shanghai Jin Jiang International Hotels Co.Ltd(600754) , Btg Hotels (Group) Co.Ltd(600258) , Jiangsu Chuanzhiboke Education Technology Co.Ltd(003032) , down 14.76%, 14.76%, 15.30%, 15.31% and 18.92% respectively. As of March 11, 2022, the overall PE (TTM, overall method) of CITIC’s consumer service industry was about 37.10 times, significantly lower than last week and 46.72 times lower than the average valuation of the industry since 2016. The PE (TTM) of tourism and leisure, hotel catering, education and comprehensive service sectors are 35.8 times, 56.36 times, 52.86 times and 59.56 times respectively.
Industry operation data: as of March 11, 2022, the vaccination volume of covid-19 vaccine per 100 people in China has reached 220.19 doses, the cumulative vaccination volume of covid-19 vaccine has reached 3.189 billion doses, and the average covid-19 vaccination volume in seven days is about 4.7219 million doses. The total amount of covid-19 vaccination per 100 people in the world reached 137.96 doses, of which the complete vaccination rate of covid-19 vaccine per 100 people reached 56.53%, and the daily covid-19 vaccination volume reached 182868 million doses.
Key news of the industry: (1) the people’s Government of Yunnan Province issued the notice on several policies and measures to accurately do a good job in epidemic prevention and control and accelerate the recovery and development of tourism industry. Class a scenic spots that implement the government’s guidance price are encouraged to carry out ticket price reduction and promotion activities, and the provincial finance will give 50% subsidy according to the reduction and exemption. (2) Air ticket and tourism prices rose 18.0% and 4.5% in February. (3) The final cure rate of yanyeyi covid-19 can reach 100%.
Industry perspective: maintain the recommended rating of the industry. Sporadic outbreaks broke out in many places this week, disturbing cross provincial travel. The epidemic situation in Jilin and other places is more severe, and the consumer service industry is under pressure in the short term. The Philippines, South Korea, Vietnam and other neighboring countries have successively announced plans to exchange tourists. The clinical trial of covid-19 in yanyeyi, Japan has boosted the market’s expectation of controlled epidemic. It is suggested to pay attention to the key scenic spot companies Jiangsu Tianmu Lake Tourism Co.Ltd(603136) ( Jiangsu Tianmu Lake Tourism Co.Ltd(603136) ), Emei Shan Tourism Company Limited(000888) ( Emei Shan Tourism Company Limited(000888) ), Songcheng Performance Development Co.Ltd(300144) ( Songcheng Performance Development Co.Ltd(300144) ), etc. that are expected to benefit from the relief and tax reduction policies.
Risk warning: macroeconomic downturn; Changes in industrial policies; The promotion of relevant policies is less than expected; Repeated outbreaks and other risks
