Glonghui, October 31 | CICC published a report stating that CRRC's third-quarter performance is in line with the company's expectations. According to data from the National Bureau of Statistics, the first three quarters of the railway passenger capacity was 2.93 billion, 4.5% higher than the same period in 2019, exceeding the China Railway Group's estimate of 2.69 billion passengers at the beginning of the year. It is believed that railway passenger capacity will continue to improve. In the future, during the New Year and Lunar New Year holidays, EMU usage will increase further, stimulating demand for train procurement. The report also believes that downstream demand from new industries remains strong. CRRC has deployed throughout the wind power value chain, involving turbines and components, etc., while also expanding into high-growth industries, such as new materials, electric vehicles and ships, and marine equipment. In response to the pressure on urban rail traffic demand, the bank lowered CRRC's earnings per share forecast for this year and next two years by 8% and 6% respectively, and the target price by 15% to HK$4.44, reflecting the predicted price-earnings ratio of this year and next two years by 11 times and 10 times, respectively.