CICC: Maintain a " outperform the industry" rating for Content Group, target price HKD 29.

CICC has released a research report stating that it maintains its forecast for the non-IFRS net profit attributable to the parent company of the Tencent Literature Group at 850 million yuan and 1.311 billion yuan for 2026 and 2027, respectively. At the current price, this corresponds to a non-IFRS price-to-earnings ratio of 21 times for 2026 and 14 times for 2027. It maintains an "outperform" rating and a target price of 29 Hong Kong dollars, corresponding to a non-IFRS price-to-earnings ratio of 30 times for 2026 and 19 times for 2027, which represents an upside potential of 39.8% relative to the current share price.