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<Research>Daiwa: Mkt Overreacts to AI Disruption to Game Sector; Top Picks TENCENT/ BILIBILI-W/ Others w/ Ratings Buy
Recommend
23
Positive
29
Negative
8
The market overreacted to the impact of AI disruption to the game industry, and believing that core creative leadership remains in human hands, Daiwa released a research report saying. The broker reiterated its Positive rating on China's online game sector, with top picks including TENCENT (00700.HK), BILIBILI-W (09626.HK) and NTES-S (09999.HK).

Daiwa was bullish on TENCENT, BILIBILI-W and NTES-S, believing that they possess comprehensive capabilities, vision advantage and live-operation strength.

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The table below shows Daiwa's ratings and target prices for the relevant stocks:

Stock | Rating | Target Price

Bilibili (BILI.US) | Buy | US$32
BILIBILI-W (09626.HK) | Buy | $250
NetEase (NTES.US) | Buy | US$165
NTES-S (09999.HK) | Buy | $257
TENCENT (00700.HK) | Buy | $710

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