Analysis Report | Nvidia's target price significantly raised after earnings! Is there still a 50% upside for KUAISHOU-WR?
Credit Suisse focuses on the recovery prospects of KUAISHOU-WR's advertising business, expecting the upward momentum in the second half of the year to come mainly from vertical sectors such as gaming and e-commerce, as well as algorithm upgrades. The improvement in commercialization level has driven the commission rate for e-commerce in the second quarter to increase to 4.1%, and further upward potential is expected in the future.
Nvidia's post-performance target price has been significantly raised!
See "Pre-market surge of 8%! Why can Nvidia, the "number one player" in AI chips, continue to rise in stock price?" for details.
Credit Suisse: Maintains "Outperform" rating for Kuaishou, raises target price by 2% to HKD 102
If calculated based on the latest closing price of HKD 67.9, this price implies a 50% upside!
The bank stated that Kuaishou's performance in the second quarter was strong, with revenue growing 28% YoY driven by advertising and e-commerce businesses. Adjusted net profit reached CNY 2.7 billion, with an adjusted net profit margin of 9.7%, mainly due to a better product mix and disciplined operating expenses.
The bank focuses on the recovery prospects of Kuaishou's advertising business, expecting the second half of the year to be driven mainly by verticals such as gaming and e-commerce, as well as algorithm upgrades. The improvement in commercialization level has led to an increase in the second-quarter e-commerce commission rate to 4.1%, with further upside expected in the future. The live streaming business is expected to follow industry trends, with growth slowing down.
Anticipating that Kuaishou's growth will outperform its peers, the bank has raised its earnings forecast per share for the next two years by 67% and 7%.
UBS: Maintains "Buy" rating for Jiuxian, lowers target price by 8% to HKD 17.5
If calculated based on the latest closing price of HKD 13.44, this price implies a 30% upside!
The bank stated that Jiuxian's revenue in the first half of the year increased by 52% YoY to CNY 2.9 billion, and net profit increased by 285% YoY to CNY 222 million, both in line with the earlier profit forecast. The management maintains a target of opening 120 new stores this year, including 15 in overseas markets, while Sichuan hot pot aims to open more than 35 new stores. The bank has lowered its earnings forecast per share for the company from 2023 to 2025 by 3% to CNY 10%, reflecting current revenue pressure.
Barclays: Raises Baidu's target price by 1% to USD 183
If calculated based on the latest closing price of USD 132.51, this price implies a 38% upside!
Citi: Lowers iQiyi's target price by 16% to USD 6.6
If calculated based on the latest closing price of USD 4.69, this price implies a 41% upside!