Big speed reading | Li Auto's target price has been significantly raised! Alibaba, JD.com, and BIDU-SW suffer significant "price cuts"

Ruisui: Lower target prices for JD.com, BIDU-SW, Alibaba

The bank lowered the target price for JD.com by 12.5% to $70 from $80, lowered the target price for BIDU-SW by 10.5% to $170 from $190, and lowered the target price for Alibaba by 6% to $145 from $155.

"If calculated based on the latest closing price, these prices mean there is still 98%, 42%, and 70% room for growth respectively!"

Analysts say that the Chinese economy is recovering, retail sales are improving, but the service industry is performing better due to the transformation of the tourism industry. However, overall consumer sentiment remains cautious. Looking ahead, it is expected that policy support will address these issues, but due to estimated adjustments and industry P/E compression, target prices for Chinese internet stocks have been lowered.

Goldman Sachs: Maintains "Buy" rating for JD.com with a target price of HKD 256

"If calculated based on the latest closing price, this price means there is still 81% room for growth!"

The bank said that JD.com's first-quarter performance exceeded expectations, and management reiterated expectations for stable gross margins at the group level this year, with expectations for upward potential. The bank believes that JD.com is undervalued in the market in terms of 3P business, potential for active user growth, and monetization improvement space due to the company's recent growth slowdown.

Lyon: Reaffirms "Buy" rating for Ideal Auto, raises target price by 30% to HKD 162 from HKD 125

"If calculated based on the latest closing price, this price means there is still 42% room for growth!"

The bank said that Ideal Auto's first-quarter profit growth was strong under the market price war, and the first-quarter performance was satisfactory. The group hopes to achieve market share growth this year and plans to have more than 410 dealerships by the end of this year, up from the current 302.

The bank raised its net profit forecast for the group for fiscal years 2023 and 2024 by 182% and 52%, respectively, mainly due to accelerated economies of scale that could further save costs.

UBS: Gives Longbridge Dolphin a "Buy" rating with a target price of HKD 62.3

"If calculated based on the latest closing price, this price means there is still 19% room for growth!"

The company sold part of its Italian telecommunications network equipment for EUR 2.4 billion. The bank believes the transaction is positive because Longbridge can release value from its telecom assets, and its telecom sector will continue to pursue a light asset strategy to improve operational and capital efficiency. Longbridge's current transaction price is discounted by 48% from its net asset value, which is about 1 standard deviation lower than the 39% long-term average level.