Daiwa published a research report, indicating that the outlook for China's Internet Industry is bright, but flexibility must be maintained. The report states that overseas expansion remains the main growth driver, while increasing domestic Consumer stimulus measures will become a focus in 2025. The firm expects several potential significant events, including DiDi Global Inc's listing in Hong Kong, KE Holdings' dual Main Board listing, and merger opportunities. The report reaffirmed its positive view of the Industry, with preferred picks including Trip.com (TCOM.US), Tencent (00700.HK), MEITUAN-W (03690.HK), PDD Holdings (PDD.US), Full Truck Alliance (YMM.US), and Donghai (SE.US). Under favorable policies, Daiwa holds a 'strategic Buy’ view on KE Holdings-W (02423.HK) (BEKE.US) and JD.com-SW (09618.HK) (JD.US).

The report mentioned that assuming the domestic macro environment remains stable in 2025, the Gaming Industry's forecast has a greater chance of being upgraded compared to Other Industries. It also noted that investors still seem to be worried about competition in the local E-Commerce market, while Full Truck Alliance may demonstrate counter-cyclical growth and achieve positive earnings surprises even in a weak macro environment.