CITIC Securities pointed out that factors such as unfavorable weather in the third quarter of 2026, high fuel costs, and industry policy adjustments are expected to cause some disturbance in the social services sector. Various sectors may continue to be divided, but leading industry operations are still resilient. By sector, it is expected that overall hotel operations will be steady, duty-free profits will continue to recover, performance in scenic spots, ready-made drinks, and restaurants will be divided, OTA and gaming will be under pressure in the short term, and the human resources outsourcing business will continue to grow. Overall, it is recommended to seize investment opportunities around structural demand growth, supply optimization, and leading management improvements. CITIC Securities believes that the valuations of some high-quality leading companies have fallen back to a reasonable range and recommend three main lines: 1. Leading hotels and restaurants with stable business models and excellent dividend repurchase ratios; 2. Gaming companies and duty-free companies with high demand elasticity when the economy recovers; 3. Ready-made drinks and scenic spot leaders with steady operation and growth in the pro-cyclical leisure sector; at the same time, it is recommended to focus on OTA, human resources, and exhibition sectors.

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