International passenger traffic – inbound and outbound – has significantly grown in the past two years and as more Chinese travel overseas, similar growth can be expected over the next few years.
SINGAPORE (June 28): RHB is maintaining its “buy” call on China Aviation Oil (CAO) with a target price of $1.90, given China’s rapidly-growing aviation market and the group’s increased business diversification.
The largest jet fuel trader with a monopoly on imported jet fuel supply to China’s aviation industry, CAO serves as a direct proxy to the rapidly-growing outbound aviation traffic from China to the rest of the world.
