[CITIC Securities: The current liquor sector is in the late stage of the cycle bottoming out and the final stage of clearing out] On October 29, CITIC Securities reported that the current liquor sector is in the late stage of the cycle bottoming out and the final stage of clearing out, and bottom signals such as prices, inventories, and expectations have appeared. Looking forward to 2027, it is judged that the supply and demand of the liquor industry is expected to achieve a new balance - demand is expected to achieve a weak recovery under macro-catalysis and a low base, and supply is expected to shrink further but competition will intensify. In the long term, the industry is expected to steadily enter a healthy recovery stage. Although there is still some pressure on the domestic demand side, the current valuation has reflected the pessimistic expectations for the mid- to long-term development of many industries. Considering that the liquor sector currently has strong dividend value and future demand expectations have shifted to potential expectations, it is recommended to increase allocation to leading liquor companies at the bottom of the industry.