Jefferies: Lowers Bilibili (09626) target price to HK$221, maintains "Buy" rating.

Jefferies issued a research report stating that after assessing the latest trends across various sub-sectors of the advertising market, it expects the industry to be affected by macroeconomic uncertainty, and has lowered Bilibili's (09626) target price from HK$258 to HK$221, maintaining a "Buy" rating. The bank stated that it has lowered its forecast for the company's third-quarter advertising business, now expecting total revenue to grow 7.3% year-on-year to RMB 8.2 billion, compared with its previous forecast of 8% growth; and has lowered its full-year 2026 advertising growth forecast from 23% to 21.6%. The bank maintained its full-year 2026 adjusted operating profit forecast unchanged at RMB 2.891 billion, slightly more cautious than the market expectation of RMB 3 billion; adjusted net profit is expected to be RMB 2.852 billion.