Investment Rating - The report assigns a "Buy" rating to the company, indicating a positive outlook for investment opportunities [5]. Core Insights - The private jet industry is experiencing stable demand growth, with the company leveraging its differentiated product competitiveness and personalized services to continuously enhance market share and attract high-end clientele. The robust order backlog supports performance over the next two years, and the company's ability to raise prices and high repurchase rates highlight its luxury brand attributes, suggesting significant potential for valuation improvement [1][4]. Company Overview - The company, established in 1984 in the United States, is a leader in the global private jet market, with a product matrix that includes the SR series (SR20, SR22, SR22T) and Vision Jet. It is projected to achieve a revenue growth of 12.1% year-on-year in 2024, driven by stable growth in aircraft sales and services, with a gross margin of 34.6% and a net margin of 10.1% [1][16]. Private Jet Industry - The global private jet fleet remains stable at approximately 140,000 aircraft, with a projected delivery of 3,050 general aviation aircraft in 2023, reflecting an 8% year-on-year increase. The compound annual growth rate (CAGR) for aircraft deliveries from 2019 to 2023 is 3.5%, supported by the growth of high-net-worth individuals and infrastructure expansion [2][27]. Competitive Analysis - The company has a strong product offering with leading safety features and a focus on customization. It boasts a total accident rate that is three times lower than the industry average. The service ecosystem is expanding, with a comprehensive range of lifecycle services, and the brand's ability to increase prices and achieve high repurchase rates underscores its luxury positioning [3][4]. Financial Forecast and Valuation - The company is expected to achieve revenues of $1.398 billion, $1.633 billion, and $1.913 billion in 2025, 2026, and 2027, respectively, with year-on-year growth rates of 16.8%, 16.8%, and 17.2%. The projected net profit for the same years is $155 million, $195 million, and $245 million, with corresponding growth rates of 28.0%, 26.1%, and 25.9%. The current market valuation corresponds to a price-to-earnings (P/E) ratio of 22, 18, and 14 for the next three years, indicating significant room for valuation enhancement compared to luxury car brands like Ferrari [4][10].

Group 1 - The core point of the article highlights that Xirui (2507.HK) continues its strong upward trend, with a significant increase of over 12%, reaching a new high of 65.1 HKD, and a year-to-date increase of 230%, resulting in a total market capitalization of 23.8 billion HKD [1] - Xirui is a globally recognized private aircraft manufacturer, known for designing, developing, manufacturing, and selling high-quality aircraft in the private aviation sector [1] - The company recently announced the launch of the SR series seventh generation + (G7+) aircraft, which is the world's first single-engine piston aircraft equipped with the Safe Return emergency automatic landing system approved by the FAA [1] Group 2 - The low-altitude economy sector is experiencing intensive catalysts, with the Civil Aviation Administration of China establishing a leadership group for general aviation and low-altitude economy to coordinate cross-departmental and cross-regional issues by July 2025 [1] - Haitong International's research report indicates that Xirui has built a complete product system covering the mid-to-high-end market with its core product lines, the SR2X series single-engine piston aircraft and Vision Jet [1] - The private aviation market is expected to experience rapid growth due to the increasing number of high-net-worth individuals, regional market expansion, technological innovations enhancing flight experiences, and policy support promoting industry development [1]