Lates News

Morgan Stanley research report pointed out that although the third quarter profits of Bilibili (BILI.O) exceeded expectations, the advertising business showed some improvement, and the game "Escape from Tarkov" was successful, the management did not raise the fourth quarter guidance due to seasonal factors affecting "Three Kingdoms: Strategic Conquest." It is initially believed that the performance next year is likely to be better than the lower market expectations. The company is expected to see a mid-single-digit increase in revenue in the fourth quarter, with game revenue remaining flat or slightly up from the previous quarter, and advertising revenue increasing by 20% at the lower end of the range. In terms of profit margins, the company expects fourth quarter gross margin and adjusted operating profit margin to reach 37% and 10% respectively, in line with previous guidance and the expectations of the bank. The bank raised its profit forecast for 2025 by 14% and increased the earnings per share forecast for 2025-26 by 2%, with a target price for the stock rising from $23 to $25, maintaining a "market perform" rating as current valuation is considered reasonable.