Guotai Haitong: The baijiu industry still has structural opportunities; prefer leading players at each price point.

Guotai Haitong released a research report stating that the baijiu industry began accelerating its bottoming-out process from 25Q3, with financial statements undergoing deep clearing for multiple consecutive quarters. In the short term, the industry is still grinding through the bottom, and targets that clear more quickly are expected to gain greater elasticity; over the medium to long term, the top choice is companies with brand foundations, strong management capabilities, and the ability to achieve regional expansion. In 2024, baijiu began a deep adjustment, and starting from 2025 it faces new circumstances. Building on previous analysis, the bank discusses the "bottoming-recovery" process in the cycle's evolution, believing that the industry still has structural opportunities, with a preference for leaders at each price point.