HK Stock Market Move | GUOQUAN (02517) rose nearly 6% "good and cheap" positioning benefits from the trend of rational consumption. The efficient supply chain and cost-effective explosive product strategy have yielded significant results.

GUOQUAN (02517) surged nearly 6%, reaching 5.82% at the time of writing, to 2 Hong Kong dollars, with a turnover of 44.89 million Hong Kong dollars. Huatai released a research report stating that GUOQUAN is a leading brand in home meal products, based on an efficient ingredient processing + logistics supply chain system, leveraging franchisees and thousands of outlets to provide consumers with affordable and delicious meal solutions at home, forming a positive scale effect flywheel. In the past 24 years, it has followed the rational consumption trend, with high cost-effective meal packages driving rapid growth in same-store sales + expanding membership. Looking ahead, the company is optimistic about riding the trend of prefabricated meals, creating a one-stop community central kitchen, and driving long-term growth through channel expansion and category innovation. The market is concerned about cautious consumer sentiment potentially suppressing same-store sales and profitability, but the company's positioning of "affordable and delicious" benefits from the rational consumption trend, with the cost-effective strategy of quality products backed by an efficient supply chain showing visible results, with minimal impact on profit margins. Despite worries about increasing industry competition, the company's low-margin, high-turnover model has high operational barriers, and its scale advantage + proprietary brand in the lower-tier market has a solid foundation, making its competitive barriers more stable.