According to the Zhidao Financial APP, Goldman Sachs released a research report stating that they upgraded bilibili-W (09626) rating from 'Neutral' to 'Buy', and raised the target price from HK$129 to HK$176. This is due to the company entering a profit growth cycle, strengthening its business model and profit acquisition, benefiting from high-profit advertising and gaming businesses.

The bank believes that the company's net margin will reach 10% to 15% by 2026, driven by the market's upward revision of financial estimates in the next 6 to 12 months, due to a good new game lifecycle; advertising growth faster than peers; and cost discipline improvement. The market still undervalues its gaming business contribution and advertising monetization potential, supporting the bank's forecast of earnings per share for 2025-26 to be 40% higher than market expectations.

Goldman Sachs raised company's gaming revenue forecast, with figures for 2024-25 higher than market forecasts by about 12%; high profit estimates, expected operating margin rates in 2025-26 to be 7%, 12% respectively; raising earnings per share forecast by over 60% for 2025-26. The current target price reflects a forecast PE ratio of 16 times in 2026, enterprise value multiple of 9.5 times, and the bank believes the premium valuation is still fair compared to peers.