According to the information from Wise Finance, Bilibili (BILI.US) saw its stock price rise on Thursday, closing up 15.44% at $21.09. On the news front, boosted by China's economic stimulus policies, China's assets had a "Super Thursday" overnight continuation, with the Nasdaq Golden Dragon Index in China closing up 10.9%. Billionaire investor David Tepper even suggested investing in "buying everything" related to China.

Tepper is not the only one bullish on the Chinese stock market. Goldman Sachs' bulk brokerage business saw hedge funds aggressively buying Chinese stocks on Tuesday, while Morgan Stanley strategist led by Laura Wang predicts that the CSI 300 index will rise another 10% in the near future. Prior to the recent stock market rally, Tepper and Michael Burry of Scion Asset Management (the prototype figure in the movie "The Big Short") were among the few hedge fund investors well bullish on the Chinese stock market.

Furthermore, Goldman Sachs released a research report stating that it has upgraded Bilibili-W (09626) from 'Neutral' to 'Buy' and raised the target price from HK$129 to HK$176 as the company begins to enter a profit growth cycle, with a stronger business model and profitability driven by higher ad and gaming business profits.

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.