Citigroup: Reiterates TENCENT "Buy" rating with a Target Price of 573 Hong Kong dollars.
Citi released a research report stating that TENCENT (00700) recently held an investors meeting in Macau, focusing on the group's video content and intellectual property strategy. Management indicated that the profitability of TENCENT Video is expected to steadily improve in 2024, with future goals focused on maintaining profitability and promoting member growth through adjusted channel partnerships. The report reiterated a Buy rating for TENCENT, listing it as a preferred stock and core Hold Positions, with a Target Price of 573 HKD. The report quoted management stating that TENCENT Video will launch a total of 9 highly rated dramas in 2024, and through strategic restructuring and cost optimization, TENCENT Video has improved in the past two years.
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Citigroup: Electric Vehicle companies may face potential risks in the first quarter of this year and suggest considering BYD Company as a defensive investment option.
Citigroup released a research report stating that there will be a dense launch of Electric Vehicles in the domestic market this year, recommending investors consider BYD Company Limited (01211) as a defensive investment option. The report mentions that domestic Electric Vehicle companies may face five potential risks in the first quarter, including possible delays in the national trade-in subsidy; the possibility of a subsidy gap in the first quarter; low visibility of demand in January and February; manufacturers offering discounts to alleviate the pressure of expiring subsidies, which could drag down first-quarter profits; and concerns in the market about leading manufacturers initiating a new round of price wars based on the aforementioned risks.
Citigroup: JD-SW continues to lead this year's national trade-in program, initiating a 90-day positive catalyst observation.
Citigroup released a research report stating that JD-SW (09618) has had a good start this year, promoting the national trade-in program through cooperation with major provinces such as Hubei, Jiangsu, and Hunan, and continuing to lead. It is believed that JD's platform covers over 200 eligible subcategories, with participating consumers from more than 90% of counties and rural areas, mainly benefiting from JD's advantages in first-party supply chain and omnichannel strategy. Citigroup believes JD is providing the broadest national coverage, positioning the company as a preferred partner for many provincial and local governments, and asserts the strength of the JD platform and its role in capturing trade-in opportunities.
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