Core view
In terms of the market, this week, the A-share market stepped out of the independent market under the background that the three major stock indexes of US stocks fell by 3%, continuing the rebound trend of last week. On May 19, “I Maotai” was officially launched. Five new products were added, including 100ml Feitian 53% Vol (399 yuan / bottle), 43% vol Maotai (1099 yuan / bottle), Maotai wedding banquet (1099 yuan / bottle), Maotai golden Prince (338 yuan / bottle) and Maotai purple welcome (218 yuan / bottle), a total of nine SKUs, which realized the full coverage of the price band of 218 ~ 4599 yuan, and further enriched the product matrix of “I Maotai”. Among them, the retail price of 100ml Feitian was 399 yuan / bottle, Compared with the 500ml Feitian direct selling price of 1499 yuan / bottle, the ton price increased by about 33%. I the official launch of Maotai has improved the sales profit of Maotai and its series of liquor, and brought performance growth support to Maotai.
Industry trend review
Overall market performance, last week, the CSI 300 rose 2.23% to close at 407760 points, of which the food and beverage industry rose 1.31%, 0.92 percentage points lower than the CSI 300 index and ranked 20th among the 28 Shenwan sub industries. In terms of sub sectors, last week, the food and beverage shenwanzi sector rose or fell, with Baijiu II rising the most, by 1.96%, followed by snack food (1.93%), non Baijiu (1.43%), and beverage dairy products (0.14%); Food processing fell the most, down 1.46%, and seasoning fermented products (- 0.90%). In terms of individual stocks, Tibet Development Co.Ltd(000752) (16.35%), Hai Nan Yedao (Group) Co.Ltd(600238) (10.41%), Beijing Shunxin Agriculture Co.Ltd(000860) (10.15%), Zhe Jiang Li Zi Yuan Food Co.Ltd(605337) (10.14%), Gansu Huangtai Wine-Marketing Industry Co.Ltd(000995) (9.82%) led the performance.
Industry highlights and important announcements this week
(1) according to the wechat report, on May 20, Maotai international official micro released the instructions on suspending the “Maotai in the solar terms” series of activities. Due to the influx of a large number of “virtual accounts” and the use of plug-ins to participate in the lottery in batches, which infringed on the rights and interests of normal users and violated the original intention of holding the activities, the “Maotai in the solar terms” series of activities were suspended; (2) According to the micro wine report, on May 20, Luzhou Jiutai Liquor Sales Co., Ltd. issued the notice on stopping receiving the sales orders of 52 degree Guojiao 1573 classic products. From now on, the company suspended receiving the sales orders of 52 degree Guojiao 1573 classic products.
Investment advice
1) after the early correction, the pessimism of Baijiu sector was released. Hold on to the first-line Baijiu and look for the second and third lines with high elasticity. It is suggested to pay attention to Kweichow Moutai Co.Ltd(600519) ;
2) although the price increase of mass products alleviated the cost pressure last year, due to the general rise of global commodity prices, the prices of many raw materials continued to rise, and the pressure on the cost side is still relatively large. Superimposed on the current weak market demand, the phenomenon of high inventory in some sectors exists. We believe that the overall investment opportunity of mass products sector still needs to wait. 3) The epidemic has been repeated, and home consumption has become the main axis, driving the demand for prefabricated vegetables. It is suggested to pay attention to individual stocks of prefabricated vegetables.
Risk tips
Risk of epidemic exceeding expectations, risk of food safety and risk of market style change
