On Friday (0520), the average selling price of Sanyuan pigs across the country was 15.72 yuan / kg, up 3.11% from Friday of the previous week; The average price of Sanyuan piglets sold outside 15kg nationwide was 35.72 yuan / kg, up 5.12% from Friday of the previous week. Due to the optimistic price of pigs in the second half of the year, secondary fattening has sprung up again recently. It is difficult for slaughtering enterprises to grab pigs with slaughtering enterprises. Although slaughtering enterprises intend to reduce the price, the effect is not obvious. In addition, on Tuesday, Huashang reserve again issued the notice on the purchase and storage of the eighth batch of reserved pork, which continued to give market confidence. The overall pig price continued to rise this week. However, the overall supply of pigs in the current market is still sufficient. The epidemic has led to a poor economic environment and great pressure on consumption growth. With the increase of temperature, pork demand will gradually enter the seasonal consumption off-season, and the demand side may limit the increase of pig price. According to the financial report of China Central Television on May 17, at the end of April, the stock of fertile sows in China decreased by 0.2% month on month, and the process of capacity removal has continued for 10 months. We believe that the shock and rebound of short-term pig prices may have a certain impact on the pace of capacity removal, but when the overall supply is high, the rebound height may be lower than the industry expectation. It is expected that the price of pigs will rise rapidly in the second half of the year, especially in the second half of the year. Under the fluctuation adjustment, the trend of capacity removal in the industry is expected to continue. At the current time point, we continue to focus on the pig breeding sector. In particular, after adjustment, the valuation of the sector is attractive, and there is still room for further reasonable rise in the sector. We continue to recommend breeding head enterprises that have obvious advantages in cost control, followed by second-line and small American Standard enterprises that focus on Dilemma reversal, large cost improvement expectation and certainty of listing growth. Highlight Muyuan Foods Co.Ltd(002714) , Wens Foodstuff Group Co.Ltd(300498) , Tecon Biology Co.Ltd(002100) , Beijing Dabeinong Technology Group Co.Ltd(002385) , etc.
Market review:
Among the sub industries of agriculture, forestry, animal husbandry and fishery this week (05160520), the weekly increases and decreases are as follows: planting industry 8.21%, fishery 4.57%, animal health care 3.90%, Shenzhen Agricultural Products Group Co.Ltd(000061) processing 1.99%, livestock and poultry breeding 0.09% and feed – 1.07%. Among the companies in agriculture, forestry, animal husbandry and fishery industry this week (05160520), the top five companies are: Xinjiang Tianshan Animal Husbandry Bio-Engineering Co.Ltd(300313) 57.87%, Zhongnongfa Seed Industry Group Co.Ltd(600313) 20.31%, Hefei Fengle Seed Co.Ltd(000713) 19.10%, Shandong Oriental Ocean Sci-Tech Co.Ltd(002086) 17.30%, Hvsen Biotechnology Co.Ltd(300871) 15.78%; The top five companies are: jiawo shares – 3.20%, Tech-Bank Food Co.Ltd(002124) – 3.63%, Fujian Tianma Science And Technology Group Co.Ltd(603668) – 4.14%, Shenzhen Kingkey Smart Agriculture Times Co.Ltd(000048) – 5.87%, Fujian Aonong Biological Technology Group Incorporation Limited(603363) – 12.65%.
Key tracking:
None
Key recommendations:
[key recommendations] Muyuan Foods Co.Ltd(002714) , Wens Foodstuff Group Co.Ltd(300498) , Beijing Dabeinong Technology Group Co.Ltd(002385) , Yuan Longping High-Tech Agriculture Co.Ltd(000998) , Guangdong Haid Group Co.Limited(002311)
[suggestions for attention] Tecon Biology Co.Ltd(002100) , Yantai China Pet Foods Co.Ltd(002891) , Petpal Pet Nutrition Technology Co.Ltd(300673) , Jinyu Bio-Technology Co.Ltd(600201) , Wuhan Keqian Biology Co.Ltd(688526)
Risk tips: the risk of livestock and poultry price fluctuation, the impact of extreme weather, the impact of animal diseases, etc.
