Do you have a pet at home ?For as long as I remembered, when I was a kid, we were always catching little chicks from the village and keep as pets. Later, I had tortoise, a white parrot, a myna , some other birds kept by my late dad, angel fish etc. All these cramped in a tiny 1 room flat !
Fast forward 5 decades later, we are seeing a resurgence of furry pets entering into modern human lives more and more. From Korea to China to Jarkarta, we see a growing trend of young couples getting married but not wanting to have kids. Instead, they opt for pets and this can range from furry ones like bunnies, hamsters, guinea pigs, cats and dogs to exotic ones like reptiles and some even keep ants. Times have changed.......
These furry kids are now replacing human kids and I am of the opinion it will proliferate more and more as we witness the emergence of pet friendly cafes, parks for dogs, accessories sold online and in pet shops. The downside we are also seeing is abandonment by some of these paw parents who could not handle the stress of upkeeping these pets .
Before, it was all canned food but now they are going for fresh foods even curated by some chefs. Wouldn't you want to be reincarnated as a cute doggie in your next life ?
I first spotted this company i n late 2024 and nibbled some shares.
Fast forward 6-7 months later, I am so lucky to be blessed with more than 200% returns on my investment. Mind you , this is not even a tech companies with AI patents .........
Read this latest article here and you would be convinced how deep the penetration these pets have on human. Of course, the more they spend , the higher prices these companies will be.
What's next ?
002891 trade ideas
Demand for Furkids on the rise .......I am bullish on this sector for the long haul and will be nibbling on this stock soon.
Aging population, getting late to marriage and not having kids after marriage.......this combination will result in more singles, couples keeping furkids more than anything. Currently, the market is fragmented with pretty low entry and I believe over time, there will be some consolidation amongst the big boys.
This trend is not only taking place in China but like Japan, Singapore, Korea and Thailand, I see a similar pattern.
002891:SZSE - Yantai China Pet FoodsYantai China Pet Foods is up a bit over 90% over the last 3 months with fairly low volatility. Could be worth a watch.
Yantai China Pet Foods Co., Ltd. engages in the production, process, and sale of pet food. Its products include pet snacks such as chicken pieces and sandwiches, canned food such as canned beef and diced chicken, and dry food for dogs and cats. The company was founded by Zhong Li Hao in 1998 and is headquartered in Yantai, China.