Core Viewpoint - The report from China Merchants Securities International sets a target price of HKD 16.2 for ZhiZi City Technology (09911), based on the sum-of-the-parts (SOTP) valuation method, corresponding to a price-to-earnings ratio of 17 times for the fiscal year 2025/26 and 14 times for the following year [1] Financial Projections - Revenue for 2025 and 2026 is projected to be RMB 6.8 billion and RMB 8.4 billion, representing year-on-year growth of 34% and 24% respectively [1] - Adjusted net profit is expected to reach RMB 1.2 billion and RMB 1.5 billion for the same years, indicating year-on-year growth of 101% and 24% respectively [1] Business Segments - The social networking business, including SUGO and TopTop, is anticipated to maintain triple-digit year-on-year growth in both revenue and profit in the first half of 2025 [1] - The innovative business segment has seen the casual game "Alice's Dream" turn profitable, with rapid revenue growth, while the social e-commerce business recorded triple-digit profit growth [1] Future Catalysts - Potential catalysts for growth include exceeding user growth expectations, new product launches, and the possibility of being included in the Hong Kong Stock Connect by March 2026 [1]