China Galaxy Securities: For 25 years, pig prices have remained relatively stable. Pay attention to the opportunities for both offensive and defensive layouts in pig farming.

Guotai Junan Securities released a research report stating that they continue to emphasize the opportunities in the pig breeding industry with both offensive and defensive layouts. Based on the considerations of the role of productive sows and breeding efficiency, pig prices may show a downward trend year-on-year over the next 25 years, running relatively smoothly throughout the year, with profits exceeding expectations due to the decrease in costs. It is important to focus on high-quality pig companies with significant changes in marginal costs and good capital conditions. In the pet food industry, high-quality companies are increasing their market share. The price of yellow chickens is somewhat correlated with pig prices, and considering the low supply side, there may be a potential for upward movement in prices in the future. It is recommended to pay attention to the later stages of the breeding chain, including the feed leader, Haida Group, and companies related to animal vaccines.