CITIC Securities: The banking sector is expected to be revalued from a "high-dividend defensive asset" to a "high-certainty equity asset," and the upward direction of valuation is expected to continue throughout the year.

CITIC Securities research report states that since July, the market style has rebalanced, and the banking sector's performance has clearly recovered, with both absolute and relative returns recording good performance. Public fund holdings have also rebounded significantly by 0.92ppts to 1.93%, at the highest level since Q3 2025. CITIC Securities believes the sector is affected by multiple resonating factors including market style, improving capital flows, and stable operating expectations. From an investment strategy perspective, bank stocks face increased volatility in the short term due to capital flows, but the medium-term direction is driven by fundamentals and allocation-type capital. The sector is expected to undergo a revaluation from "high-dividend defensive assets" to "high-certainty equity assets," and is projected to continue demonstrating an upward valuation trajectory throughout the year.