Wei (Vivian) Tao guides the Citi trio up one rung to No. 3. The Hong Kong–based researchers follow 29 stocks and win special praise for their coverage of Chinese airports and aviation: “They understand the government’s deregulation policies, which have a lot of moving parts, better than anyone else,” declares one backer. The team is bullish on Air China, believing that the carrier should benefit from the thriving business travel market and seeing potential for an “upside surprise” from any uptick in international traffic, Tao says — “particularly outbound travel,” which is growing as China’s increasingly affluent consumers develop a taste for tourism. The company’s earnings are also enjoying a boost from lower oil prices and a weak renminbi, she adds. The shares were trading at HK$6.28 in late April, and the analysts have a target price of HK$8.48. — Paul Sweeney |
Industry – Transportation: Third