According to the report from CICC International Securities, due to the slow sales and delayed profit recovery of Weibo-SW(09898), the target price of the H shares has been downgraded by 11%, from 105.3 Hong Kong dollars to 93.6 Hong Kong dollars. However, the 11% dividend yield of Weibo is still attractive, so the "outperform" rating is maintained.

The report states that Weibo's adjusted net income in the second quarter of this year slightly exceeded expectations, due to the increase in gross margin and the reduction in product development costs. The second quarter non-GAAP net income exceeded the institution's expectations by 2%/11%, and the institution raised Weibo's 2024 net income forecast by 1%. However, the institution now believes that Weibo's advertising will not recover in the second half of the year, and has lowered the group's net income forecasts for 2025-2026 by 3%/5% respectively.