Asia’s Hottest Stock Is a Bet on China’s Military Expansion
- Hong Kong-listed AviChina makes training jets and helicopters
- Every analyst that tracks the company rates it a buy
Photographer: Brent Lewin/Bloomberg
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China’s push to bolster its military firepower has turned a state-run aviation stock into one of Asia’s best performers this year.
AviChina Industry & Technology Co., a maker of training jets, transport helicopters and airplane electronics systems, jumped 40 percent in Hong Kong since the start of February through Monday as Beijing pledged to boost defense spending. That put it on top of the MSCI Asia Pacific Index, which fell more than 6 percent in that time.