CMB International Securities: Tencent is the preferred choice in the Chinese internet industry, raising the target price to HKD 670.

CMB International Securities has published a report stating that the Chinese gaming market achieved strong growth in the first half of the year, with the company focusing on companies that outperformed their peers through new products, AI, and refined operations. Looking ahead to the second quarter and full year, the company believes that a rich reserve of games will continue to drive growth and profit margin expansion. The company expects Tencent, NetEase, and Bilibili's second-quarter gaming revenue to increase by 15%, 18%, and 13% respectively, and for the 2025 fiscal year to increase by 15%, 13%, and 13%. CMB Securities maintains Tencent as the top choice in the Chinese internet industry, citing its solid business moat, good growth prospects, market leadership position, and potential in AI application ecology, with a target price raised from HKD 650 to HKD 670. Additionally, the company has raised its target price for NetEase from $154 to $166 and for Bilibili from $25 to $28.