Huayuan Securities: First gives a "buy" rating to Air China, industry difficulties may be about to reverse, leading advantage continues to expand.

Huayuan Securities research report pointed out that the industry's difficulties are about to be reversed, and the leading advantage continues to expand. As the only flag carrier airline in China, Air China has a high-value customer base and strong brand influence. From the perspective of aircraft profitability, from 2007 to 2024, except for years when the industry was affected by external factors, the company has consistently ranked first among the "Big Three Airlines". With the industry's recovery accompanied by the strengthening of the company's leading position, the company is expected to fully benefit from the upward cycle. Referring to the valuation of comparable companies such as China Southern Airlines and China Eastern Airlines, given the company's position as an industry leader, it is expected to fully benefit from the industry's reversal of difficulties and the upward cycle, fully leveraging its resource barriers and advantages in international routes. First coverage, issued a "buy" rating.