Goldman Sachs: Maintains Neutral Rating on WB-SW (09898) with Target Price Raised to HK$75

Goldman Sachs released a research report, stating that WB-SW (09898) performance in the third quarter of this year was driven by improvements in Olympic advertising and average revenue per user (ARPU) for member services. They maintained a "neutral" rating and raised Weibo's Hong Kong stock target price by 3% from HK$73 to HK$75. The bank stated that they have raised Weibo's revenue for 2024-2026 by 3%/3%/2% respectively, while also increasing its adjusted net profit by 5%/4%/3% to account for the third quarter performance this year. Currently, Goldman Sachs forecasts that Weibo's revenue in 2024 will remain flat at $1.75 billion, with an adjusted operating profit of $591 million and an adjusted operating profit margin increasing by 0.1 percentage points to 33.7% year-on-year.