Investment highlights Our point of view: Overall, we expect Lianzhong's Q1 revenue to maintain rapid growth, driven by the two main factors of WPT mergers and Texas Hold'em revenue growth, but profits will decline due to expenses and investment losses. We continue to be optimistic about Lianzhong's development strategy for building five major ecosystem businesses 1) gaming, 2) e-sports, 3) intellectual sports in China, 4) global competition, and 5) sports e-commerce. Each business will independently generate revenue while collaborating with other businesses to channel mutual flows and increase user stickiness and satisfaction. However, in the short term, the company's focus is on the new games launched during the summer vacation and the amount authorized for broadcasting rights for the 2016 WPT tournament. We maintain the company's “buy rating” and give a 12-month target price of HK$5.32, corresponding to 25 times EPS in 2016. Profit forecast and valuation: We forecast the company's revenue for 2016, 2017 and 2018 to be $940 million, $1.09 billion and $1.24 billion respectively. We maintain our “buying rating” and give a 12-month target price of HK$5.32, corresponding to 25 times EPS in 2016. Risk warning: 1) there is great uncertainty about new games; 2) the integration of WPT is challenging; and 3) the development of intellectual exercise may fall short of expectations.