Prefer discretionary over staples - Consumer SectorEyeing multiple near-term catalysts for China/HK consumer plays, including the return of tourists, low base effect, better operating leverage, working capital rebounds and attractive valuations, we rank our preferred names across 10 sub-segments
Our stress tests also attempt to factor in looming headwinds such as slowing economic growth, negative wealth effects from sluggish stock and property markets, rising bankruptcies and defaults, geopolitical tension, RMB depreciation, etc.
Considering the mixed outlook, we prefer
Samsonite, Galaxy, YUM China, Budweiser APAC, CR Beer, and Anta, as we see relatively more near-term catalysts and better prospects for them in the next 6-12 months
Source: DBS
https://www.dbs.com/insightsdirect/scre ... rtid=40600
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