PUYIN International: Favorable policies promote the recovery of the e-commerce market.

Purui International released a research report stating that with the recent introduction of a series of economic stimulus policies by the government, including nationwide subsidies for old-for-new policies, the domestic e-commerce market is expected to see a recovery, thereby driving the valuation repair of the e-commerce sector. Currently, the average price-to-earnings ratio of the Chinese e-commerce industry in 2025 is around 10x, which is attractive, maintaining a "buy" rating for the industry. At the same time, considering that the outcome of the US election may increase the risks for cross-border e-commerce, it is recommended to pay attention to e-commerce platforms with a focus on domestic business in the short term, as they have a higher safety margin. On Singles' Day, online sales increased by 26.6% year-on-year, with home appliances, electronics, beauty, and clothing leading the growth: This year's Singles' Day promotion has ended. According to statistics from Xingtu Data, the total online sales were 1.4418 trillion yuan (October 14 - November 11, 2024), an increase of 26.6% year-on-year (2.1% increase year-on-year from October 24 to November 11, 2023), with the sales on comprehensive e-commerce platforms increasing by 20.1% year-on-year and live streaming e-commerce sales increasing by 54.6% year-on-year. In terms of product categories on comprehensive e-commerce platforms, thanks to recent nationwide subsidies for old-for-new policies, sales of household appliances grew strongly, with a year-on-year growth rate of 26.5%, followed by mobile electronics, personal care and cosmetics, and clothing, with year-on-year growth rates of 23.1%, 22.5%, and 21.4% respectively. According to research data from Purui International, the year-on-year growth rates of transactions on major e-commerce platforms are expected to be: Alibaba Group Holding Limited Sponsored ADR +10%, JD.com, Inc. Sponsored ADR Class A +15%, PDD Holdings Inc. Sponsored ADR Class A +20%, Douyin +30%. Overall, the Singles' Day data exceeded expectations, and the e-commerce market has warmed up. National express delivery volume increased by over 20% year-on-year: According to data from the State Post Bureau, from October 21 to November 10, 2024, the national express collection volume was approximately 12.082 billion pieces, an increase of 21.4% year-on-year; the cumulative delivery volume was approximately 12.124 billion pieces, an increase of approximately 25.3% year-on-year. Alibaba Group Holding Limited Sponsored ADR: Driven by beauty, electronics, and purchases, the number of shoppers hit a new high. During the entire period of Tmall's Singles' Day, 589 brands achieved sales of over 100 million yuan, a 46.5% year-on-year increase from last year, breaking historical records; the core industries of beauty, 3C electronics, and home appliances and furnishings led the growth in sales; the core user base continued to expand, with a 50% year-on-year increase in 88VIP orders and double-digit growth in 88VIP members; 119 live streaming rooms achieved sales of over 100 million yuan, with 49 rooms showing more than 100% year-on-year growth in sales; Taobao's billion yuan subsidies saw orders of over 150 million, with a 50% year-on-year increase in cumulative orders. JD.com, Inc. Sponsored ADR Class A: Shopping user growth exceeded 20%, with strong growth in medium and small businesses. During JD.com, Inc. Sponsored ADR Class A's Singles' Day, the number of shopping users increased by over 20% year-on-year, and JD.com, Inc. Sponsored ADR Class A's live streaming orders increased by 3.8 times year-on-year. Sales from over 17,000 brands increased by more than 5 times year-on-year, and sales from over 30,000 medium and small businesses increased by over 2 times year-on-year. Related targets: Alibaba Group Holding Limited Sponsored ADR (09988), JD.com, Inc. Sponsored ADR Class A (09618), PDD Holdings Inc. Sponsored ADR Class A (PDD.US).