Jinwu Financial News | Airlines stocks rose across the board. As of press release, Beijing Capital Airport shares (00694) rose 3.72%, Cathay Pacific (00293) rose 3.22%, China Southern Airlines (01055) rose more than 3%, and China Eastern Airlines (00670) rose more than 2%.
According to the news, we learned from the Civil Aviation Administration of China that in January 2024, China's civil aviation passenger traffic increased markedly. The data shows that in January, the total number of passengers carried by civil aviation was 573.18 million, an increase of 44.1% over the same period in 2019, or 107.3% in the same period in 2019. Zhan Fen, an associate researcher at the China Academy of Civil Aviation Science and Technology, believes that there are two reasons for the marked increase in passenger traffic in civil aviation. First, demand in the domestic civil aviation market and the movement of people throughout society across regions is recovering at an accelerated pace. Second, the international market is recovering at an accelerated pace, and surrounding markets have formed travel hotspots. In addition to traditional demand, due to favorable immigration facilitation policies, the popularity of civil aviation travel in some countries and regions has reached a record high.
China Post Securities Research Report points out that in 2024, the growth rate of China's civil aviation supply is limited, and the overall demand side recovers. The recovery of the international market is expected to further improve the market structure, and industry fundamentals will continue to improve. Looking at the longer cycle, there are long-term constraints on the supply of civil aviation. The supply growth rate is expected to remain low. Increased demand is expected to drive the continuous improvement of the civil aviation supply and demand relationship and raise the industry's profit level.