Daiwa Research initiated coverage of BOC Aviation (BOCA)(02588), one of the world's top aircraft lessors, with a "buy" rating and a target price of HK$50.
The research house expects long-term global air traffic demand growth to remain solid from 2016-35, and believes BOCA's backlog will help it capture this growth opportunity.
At the end of June 2016, BOCA had an order book of 218 aircraft, representing 82% of its owned and managed fleet of 265 aircraft. In addition to further purchase and lease-back transactions, Daiwa forecast its lease rental income to see a CAGR of 13% from 2016-18.
全新節目《說說心理話》講述被情緒困擾真實個案，情緒病最終如何走出低谷？► 即睇
