iQIYI(US:IQ) Zhao Yin Guo Ji·2025-10-17 02:11Company Analysis - iQIYI (IQ US; Buy; Target Price: $2.70) is expected to have total revenue in Q3 2025 remain flat quarter-on-quarter, with a year-on-year decline of 8% to 6.64 billion yuan, supported by a strong content reserve leading to a 3% quarter-on-quarter growth in membership business [2] - The non-GAAP operating loss for iQIYI in Q3 2025 is projected to be 23 million yuan, compared to operating profits of 369 million yuan and 59 million yuan in Q3 2024 and Q2 2025 respectively, primarily due to adjustments in non-core businesses and increased content investment during the summer peak season [2] - The revenue forecast for FY25-27 remains largely unchanged, but the non-GAAP operating profit forecast has been adjusted down by 0.4-2% to account for increased content investment [2] Market Performance - The Hang Seng Index closed at 25,889, down 0.09% for the day but up 29.06% year-to-date, while the Hang Seng Tech Index fell 1.18% for the day but is up 34.36% year-to-date [2] - The A-share market saw gains, with coal, banking, and industrial trade sectors leading the rise, while steel, building materials, and non-ferrous metals lagged [4] - Southbound capital recorded a net inflow of 15.82 billion HKD, with Zijin Mining, Xiaomi, and Alibaba seeing the largest net purchases, while SMIC, Giant Biogene, and Laopu Gold experienced significant net sales [4]