Pacific Securities Research report pointed out that Dabei Nong (002385.SZ) suffered losses in the first three quarters, and its performance declined significantly compared with the same period last year, mainly related to the poor performance of pig farming business. The performance of domestic pig prices remained in the doldrums in the first three quarters, with general losses in the breeding industry, and the development of the company's breeding and feed business was also affected. Entered the third quarter, pig prices rebounded, the company's breeding business losses significantly narrowed. Benefiting from this, the overall loss of the company has also narrowed significantly compared with the previous two quarters.
The company has been deeply ploughing the field of genetically modified corn and soybean characters for many years, and its first-mover advantage and system advantage are very obvious, and it is optimistic about the long-term profit prospect of its character business. In addition, its seed business can also take advantage of its characters to a new level. Pig prices remain in the doldrums, the production capacity of the breeding industry is about to accelerate, and it is expected that the cycle of pig prices will reverse in 2024. Accordingly, the company's pig farming business will be extremely successful and usher in the release of profits. Based on this, give a "buy" rating.