CMS·2025-10-08 14:32Investment Rating - The industry maintains a "Recommended" investment rating, indicating a positive outlook for the sector's fundamentals and expected performance relative to the benchmark index [3]. Core Insights - The overall supply and demand growth in the aviation industry continues to slow down, with record high passenger load factors during peak seasons. Domestic growth remains low, while international routes are experiencing a gradual normalization effect from last year's base [1][7]. - Key performance indicators for August 2025 show significant year-on-year increases in passenger turnover and flight operations, with domestic routes showing stronger growth compared to international routes [7][23]. - The report emphasizes the importance of addressing "involution" within the industry, highlighting recent calls for a unified market and reduced competition pressures [7]. Summary by Sections Industry Monthly Review - In August 2025, the Shanghai Composite Index rose by 10.3%, while the aviation index increased by 5.9%, underperforming the broader market by 4.4% [11]. - Most aviation stocks saw gains, with the largest increase being 11.5% for a specific stock, while the largest decline was 3.1% for another [11]. Key Data Tracking - Passenger turnover for August 2025 reached 136.5 billion passenger-kilometers, up 25.4% from 2019 and 5.8% from 2024. Domestic routes accounted for 104.7 billion passenger-kilometers, reflecting a 35.6% increase from 2019 [7][24]. - The available seat kilometers (ASK) for August 2025 were 156.1 billion, a 24.1% increase from 2019, with a passenger load factor of 87.5%, up 0.9 percentage points from 2019 [7][24]. - The report notes a decline in domestic ticket prices, with full ticket prices down 6.4% year-on-year [7][24]. Recent Reports - The report references several recent industry analyses, including insights on the recovery of international flights and the performance of major airlines [6][93].