The Zhitong Finance App learned that Morgan Stanley released a research report stating that it gave Cathay Pacific (00293) an “additional” rating, with a target price of HK$10.5. The company expects the market to have strong demand for travel from the end of January to the Lunar New Year period. As e-commerce in Europe and the US begins to pick up in mid-January, it is expected that demand for freight will continue to rebound.

According to the report, Cathay Pacific's passenger revenue kilometers (RPK) and number of available seat miles (ASK) in December last year returned to the levels of 59.8% and 62.5% in 2019, respectively. The passenger carrying rate (PLF) was 81.2%, down 3.7 percentage points from the same period in 2019, but up 0.7 percentage points from month to month. During the period, revenue per tonne kilometer (RFTK) improved by 14.1% year-on-year to 75% in 2019, while the carrying rate (CLF) was 60.8%, a decrease of 5.5 percentage points from 2019, and the usable tonnage kilometer (AFTK) was 82% in 2019.