Jinwu Financial News | Most airline stocks declined. Meilan Airport (00357) fell 6.64%, China Southern Airlines (01055) fell 4.1%, Air China (00753) fell 2.87%, China Eastern Airlines (00670) fell 2.63%, and Cathay Pacific (00293) followed suit.
According to Haitong Securities Research, the low air transport season began in March, and industry demand has declined somewhat. The bank believes that strong demand for private travel on holidays will drive a clear rebound in demand in the travel chain, but business travel during the off-season was lackluster or hampered overall recovery progress.
Dongxing Securities pointed out that the industry changed from peak season to low season in March, and capacity investment and passenger occupancy rates of all airlines declined month-on-month. Among them, the overall capacity investment of listed airlines fell by more than 6% month-on-month compared to February, while passenger occupancy rates fell by about 3.8 pcts month-on-month, indicating that the domestic market had a certain excess capacity during the off-season. It is predicted that the problem of pressure on the industry during the off-season will gradually improve as international routes resume this year, but the improvement process will take time.