DBS Bank: Raises China Eastern Airlines (00670.HK) target price to 3.1 Hong Kong dollars, maintains "Hold" rating.

According to the Wisdom Financial app, DBS Bank released a research report stating that China Eastern Airlines (00670.HK) is still facing pressure on domestic and international passenger revenue due to weakened consumer demand and intensified competition from the expansion of high-speed rail networks. However, as a result of lower oil prices and a weaker US dollar, the company's operating costs have decreased significantly, leading to expectations of an improvement in the company's profitability. The bank also mentioned that the trend of May Day tourism indicates growing demand, making the company's short-term prospects more optimistic. The bank has raised its profit forecast for China Eastern Airlines for the next two years by 26% and 42% respectively, maintaining a "hold" rating and raising the target price from 2.4 Hong Kong dollars to 3.1 Hong Kong dollars.