HTSC·2025-11-06 07:38Investment Rating - The report maintains a "Buy" rating for the company [4] Core Views - The company is expected to benefit from improved industry supply and demand dynamics, leading to enhanced revenue levels [2][3] - Recent improvements in ticket prices are attributed to a recovery in business travel demand and a consensus against excessive competition within the industry [2] - The company announced a plan to raise up to 20 billion RMB through a private placement to repay debts and enhance liquidity, which is expected to dilute the share capital by 14.9% if fully subscribed [2][3] Financial Forecast and Valuation - The forecast for the company's net profit attributable to shareholders for 2025-2027 is 4.90 billion RMB, 6.31 billion RMB, and 8.73 billion RMB respectively [3] - The estimated Book Value Per Share (BPS) for 2026 is projected to be 3.27 RMB, with a price-to-book (PB) ratio of 3.2x for A shares and 2.2x for H shares [3] - The target price remains unchanged at 10.45 RMB for A shares and 7.90 HKD for H shares, reflecting a premium valuation based on expected improvements in return on equity (ROE) [3]