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Bank of China International has released a research report stating that NetEase is expected to announce its second quarter performance forecast in late August, with total revenue expected to increase by 11% year-on-year to 28.2 billion yuan. Online gaming revenue is expected to grow by 16% to 22.4 billion yuan, slightly lower than market expectations by 1%, while computer game revenue is projected to increase significantly by 67% to 7.6 billion yuan, and mobile game revenue is expected to remain stable at around 14.8 billion yuan. The bank predicts that NetEase's adjusted net profit for the second quarter will increase by 28% to 10 billion yuan, exceeding market expectations by 4%. The bank maintains a "buy" rating for NetEase, raising the target price from 220 Hong Kong dollars to 236 Hong Kong dollars and increasing adjusted earnings per share forecast for 2025 to 2027 by up to 2%. Looking ahead to 2026, Bank of China International believes that NetEase will experience a year of explosive growth.
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