'Buy' Ratings for Chinese Airlines Maintained, Bocom International Says

The video discusses the impact of a viral outbreak on the airline industry, focusing on why ratings for Chinese airlines remain unchanged despite anticipated challenges. It highlights the historical resilience of airline shares post-outbreaks and the current situation's severity compared to SARS. The video also examines Cathay Pacific's compounded difficulties due to ongoing protests and the outbreak, affecting its transit demand and earnings.

What is the main reason the speaker is not adjusting airline ratings despite the outbreak?

• They have already adjusted the ratings previously.

• They expect a long-term decline in the aviation market.

• They believe in the long-term growth of China's aviation market.

• They anticipate a permanent change in travel behavior.

How does the current outbreak compare to SARS in terms of contagiousness?

• It is less contagious than SARS.

• It is more contagious than SARS.

• It is not contagious at all.

• It is equally contagious as SARS.

What is one of the potential challenges airlines face due to the outbreak?

• Increased fuel prices.

• Closed borders and grounded flights.

• Lack of aircraft availability.

• Pilot shortages.

What additional challenge is Cathay Pacific facing besides the coronavirus outbreak?

• Economic sanctions.

• Ongoing protests in Hong Kong.

• Cybersecurity threats.

• Natural disasters.

How might Cathay Pacific's role as a major aviation hub be affected?

• It will face no impact.

• It will become more popular.

• It could lose crucial transit demand.

• It will expand its operations.