Citibank: maintains "buy" rating for TENCENT (00700) with a target price of 563 Hong Kong dollars.

Citigroup released a research report stating that TENCENT (00700) has launched a new feature on WeChat called "blue envelope," successfully expanding the consumption scenes within the WeChat ecosystem during the Chinese New Year period, especially in categories such as books, snacks, and toys. They maintained a "buy" rating on Tencent with a target price of 563 Hong Kong dollars. The report also mentioned that, although the consumption of video content during the Chinese New Year tends to be related to the festival, WeChat has noticed a sharp increase in demand for tea drinks among consumers entering mainland China, reflecting the strengthening consumption habits within the WeChat ecosystem. On the other hand, the convenient use of mini programs has successfully expanded the application scenarios of WeChat to the outbound tourism sector and enriched the network of merchants in overseas markets. The report believes that with the increasing number of merchants participating in WeChat and the wider adoption of the gifting feature, WeChat's e-commerce ecosystem will gain a stronger market share by 2025.