In her Oct 30 note, Mak points out that international passenger traffic in China, as of Sept, is up 18-fold year to date and has only reached 33% of pre-pandemic levels.
Peggy Mak of PhillipCapital has initiated coverage of China Aviation Oil with a "buy" call and $1.01 target price, on the premise that this company will see its earnings double over the next two years.
CAO, a government-linked company, serves the aviation industry of China. Besides its key base in Shanghai, CAO is involved in the trading of jet fuel, other oil products as well as carbon credit.
