Commercial aerospace sector "flash crash" in the afternoon: Tianlong-3 failure triggers a chain reaction, Feiwo Technology drops over 10%

On April 3, in the afternoon, the commercial aerospace concept continued to adjust, with Feiwo Technology (301232.SZ) falling by more than 10%. Earlier, Zhongheng Design (603017.SH) hit the limit down, while CITIC Super Holdings (002471.SZ), Shenjian Co., Ltd. (002361.SZ), Guanglian Aerospace (300900.SZ), Juli Slings (002342.SZ) and other stocks all fell by more than 7%.

According to the news, at 12:17 PM on April 3, the Tianlong-3 large liquid rocket launched from the Jiuquan Satellite Launch Center lifted off successfully. However, the rocket’s flight was abnormal and the launch mission failed. The mission team will conduct comprehensive work on space “zeroing out” and improvements.

The report by CITIC Construction Investment Research noted that the future of commercial aerospace is boundless, and both China and the U.S. place commercial aerospace at an extremely high strategic level. SpaceX leads in areas such as constellation deployment progress, rocket capacity and cost, revenue scale, and valuation scale. Driven by the strategic value of occupying frequency and maintaining orbits, as well as the commercial value of operational services, China’s policies support the development of commercial aerospace from both the industrial and capital market perspectives. Domestic development shows an accelerating catch-up trend: large reusable rockets have begun intensive maiden flights, which is expected to gradually break through core industry bottlenecks and speed up the realization of a closed-loop commercial aerospace industry. Looking ahead to the subsequent performance of the commercial aerospace sector, in the satellite segment, key focus is on payloads overall, antennas and supporting equipment, laser communication terminals and supporting equipment, and solar wing and energy system-related components. In the rocket segment, key focus is on the engines and their 3D printing, as well as components related to the rocket body structure. In the ground equipment segment, key focus is on civilian terminals and mobile phone direct-connection-related areas. In operational services, key focus is on companies with scarce qualifications.