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    How Investors Are Reacting To AviChina (SEHK:2357) Scrapping Its Supervisory Committee And Reshaping The Board

    Simply Wall St·12/13/2025 17:28:22
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    • At its extraordinary general meeting on 12 December 2025, AviChina Industry & Technology approved amendments to its Articles of Association, including abolishing the Supervisory Committee system, and confirmed the appointment of Mr. Gao Jiming as a non-executive director through 2027.
    • This governance overhaul reduces one layer of oversight while reshaping the board, raising fresh questions about how management will now be monitored.
    • We will now examine how the abolition of the Supervisory Committee could influence AviChina’s investment narrative and future governance profile.

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    What Is AviChina Industry & Technology's Investment Narrative?

    To own AviChina, you need to be comfortable backing a large PRC aerospace group with modest revenue growth, relatively low but improving profitability and a history of underperforming both the Hong Kong market and its own sector. Near term, the key catalysts still look operational: execution on forecast earnings growth, any improvement in thin 2.2% net margins, and whether the market reassesses a stock trading at a discount to consensus price targets yet screening as expensive on some valuation models. The December decision to abolish the Supervisory Committee and reshuffle the board, including appointing Mr. Gao Jiming as a non executive director, does not obviously change those financial drivers, but it does tilt the risk mix. With an already inexperienced board and limited independence, investors now have to judge whether lighter formal oversight increases governance risk or simply streamlines decision making.

    However, this leaner oversight structure is exactly where many investors may want to pause and look closer. AviChina Industry & Technology's share price has been on the slide but might be dropping deeper into value territory. Find out whether it's a bargain at this price.

    Exploring Other Perspectives

    SEHK:2357 1-Year Stock Price Chart
    SEHK:2357 1-Year Stock Price Chart

    Simply Wall St Community members currently converge on a single fair value estimate around HK$0.29 per share, pointing to very large downside versus recent trading. Set against that is the evolving governance setup after the Supervisory Committee’s removal, which could influence how confidently the market treats AviChina’s earnings forecasts and any future re rating.

    Explore another fair value estimate on AviChina Industry & Technology - why the stock might be worth as much as HK$0.288!

    Build Your Own AviChina Industry & Technology Narrative

    Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

    • A great starting point for your AviChina Industry & Technology research is our analysis highlighting 2 key rewards that could impact your investment decision.
    • Our free AviChina Industry & Technology research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate AviChina Industry & Technology's overall financial health at a glance.

    No Opportunity In AviChina Industry & Technology?

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.