Investment Rating - The report maintains a "Positive" investment rating for the transportation industry, indicating an expectation of performance that exceeds the market benchmark by more than 5% [2]. Core Insights - The highway sector has experienced a significant adjustment since June, driven by a decrease in risk aversion and a rise in government bond yields. Despite this, the sector is characterized by stable performance, strong cash flow, and high predictability, making it an attractive investment opportunity [4][13]. - The premium of A-shares over H-shares for highway stocks has decreased to its lowest level since 2023, suggesting a favorable valuation for A-shares compared to H-shares [5][19]. - Key highway stocks have seen their dividend yields recover to higher levels not seen since 2024, with several companies showing significant increases in their dividend rates [6][34]. Summary by Sections 1. Highway Sector Adjustment - The highway sector is traditionally known for high dividends and has shown strong performance in the past. However, it has undergone a deep adjustment since June due to market conditions and rising bond yields. The current state presents a strong absolute return potential for investors [4][13]. 2. A-H Share Premium - The A-H share premium for highway stocks has narrowed significantly, indicating a shift in valuation dynamics. This change is attributed to the differing impacts of domestic and U.S. bond yields on the respective markets [5][24]. 3. Dividend Yield Recovery - The dividend yields of key A-share highway stocks have increased significantly due to stock price corrections. Companies like Ninghu, Wantong, and Guangdong Expressway have returned to higher dividend yield levels, enhancing their attractiveness for investors [6][35]. 4. Investment Recommendations - The report suggests focusing on high-dividend stocks from the highway sector, particularly those with stable dividend payouts. Companies such as Wantong, Guangdong Expressway A, and China Merchants Highway are highlighted as having strong dividend potential, with some expected to yield over 5% [7][48].

Investment Rating - The report maintains a "Positive" investment rating for the transportation industry [13] Core Insights - The transportation industry is expected to see improvements in profitability across various sub-sectors in Q3 2025, driven by domestic demand recovery and resilient international demand [2][6][7][8][9][10][11][12] Summary by Sub-Sector Aviation - The aviation sector is experiencing subdued demand but is benefiting from reduced costs, leading to an overall improvement in profitability for Q3 2025. The international flight recovery remains strong, and oil prices have significantly decreased [6][19][24] Airports - Domestic airport traffic is recovering, with international flights also increasing. Revenue is expected to improve steadily, with key airports benefiting from both domestic and international demand growth [2][6][24][26] Express Delivery - The "anti-involution" policy is driving price increases in the express delivery sector, leading to improved profitability for e-commerce deliveries. However, operational costs are temporarily pressuring profit margins [2][6][28][30] Logistics - The logistics sector is stabilizing, with major players expected to see profit growth due to improved supply chain performance and resilient cross-border logistics profitability [2][6][7][31] Maritime Transport - The maritime sector is witnessing a divergence in profitability among different shipping types. While container shipping faces challenges, oil tanker profits are improving due to favorable market conditions [2][6][8][33][37] Ports - Port operations are expected to see improved profitability in bulk cargo handling, while container throughput remains resilient despite external pressures [2][6][9][39] Highways - Highway traffic is relatively stable, with a slight increase in profitability anticipated for Q3 2025, supported by steady freight and passenger traffic [2][10][41] Railways - Railway passenger and freight volumes are showing mixed trends, with a focus on opportunities arising from high-speed rail transformations. Overall, passenger transport is expected to grow, while freight transport is improving [2][11][43][44]

Group 1 - JPMorgan Chase & Co. reduced its stake in Jiangsu Ninghu Expressway (00177.HK) by selling 3.7 million shares at an average price of HKD 9.1741 per share, totaling approximately HKD 33.94 million [1] - After the reduction, JPMorgan's total holdings decreased to 71,686,325 shares, representing a decline in ownership from 6.16% to 5.86% [1][2]

Group 1 - JPMorgan Chase & Co. reduced its stake in Jiangsu Ninghu Expressway (00177.HK) by selling 3.7 million shares at an average price of HKD 9.1741 per share, totaling approximately HKD 33.94 million [1] - After the reduction, JPMorgan's total holdings in Jiangsu Ninghu Expressway decreased to 71,686,325 shares, representing a reduction in ownership from 6.16% to 5.86% [1][2]

Core Viewpoint - Ninghu Expressway announced the issuance of the 8th phase of ultra-short-term financing bonds for the year 2025 on September 10, 2025 [2] Company Summary - The company is set to issue ultra-short-term financing bonds, indicating a strategy to raise funds for operational or investment purposes [2] - The announcement was made on the evening of September 12, suggesting timely communication with stakeholders regarding financial activities [2]

Group 1 - JPMorgan reduced its stake in Jiangsu Ninghu Expressway (600377) by 3.7 million shares at a price of HKD 9.1741 per share, totaling approximately HKD 33.9442 million [1] - After the reduction, JPMorgan's latest holding is approximately 71.6863 million shares, representing a holding percentage of 5.86% [1]

Group 1 - JPMorgan reduced its stake in Jiangsu Ninhuhighway (00177) by 3.7 million shares at a price of approximately HKD 9.17 per share [1] - The total amount from the sale was about HKD 33.94 million [1] - After the reduction, JPMorgan's remaining shareholding is approximately 71.69 million shares, representing a stake of 5.86% [1]

Group 1 - The company Jiangsu Ninghu Expressway (00177) announced the issuance of its 8th ultra-short-term financing bond for the year 2025, with a total issuance amount of 700 million yuan [1] - The bond, referred to as "25 Ninghu Gao SCP008," has an issuance interest rate of 1.57% [1]

Group 1 - The company Jiangsu Ninghu Expressway (600377) issued the eighth phase of its ultra-short-term financing bonds for the year 2025, with a total issuance amount of 700 million yuan [1] - The bonds are referred to as "25 Ninghu Gao SCP008" and have an issuance interest rate of 1.57% [1]

Group 1 - The company Jiangsu Ninghu Expressway (00177.HK) announced the issuance of its 2025 eighth phase of short-term financing bonds, with a total issuance amount of 700 million yuan [1] - The issuance date is set for September 10, 2025, and the interest rate for the bonds is 1.57% [1]