KUAISHOU(HK:01024) 美股IPO·2025-08-13 05:37Group 1 - Barclays believes Tencent Music has significantly exceeded market expectations and demonstrated strong monetization capabilities across all user music experiences, creating an ecosystem that competitors cannot replicate [1] Group 2 - JPMorgan's report on August 12 states that Kuaishou is the most undervalued AI stock, raising its target price from HKD 71 to HKD 88, indicating a potential upside of 22% [2] - The report emphasizes that Kuaishou's core advertising business is accelerating, and the impact of AI on advertising is also underestimated [2] Group 3 - JPMorgan has significantly raised its revenue forecasts for Kuaishou's AI video generation tool, Keling, for 2025 and 2026 by 61% to RMB 12 billion and RMB 19 billion, respectively, based on strong performance in Q2 2025 [3] - Keling's monthly revenue exceeded RMB 100 million in April and May, and concerns about cash flow fluctuations are considered overblown as most revenue comes from the PC side [3] - The global market for AI video generation is substantial, with potential market size exceeding USD 100 billion, and Keling's pricing is only 20-30% of overseas competitors, indicating significant growth potential [3] Group 4 - JPMorgan views Kuaishou's entry into the food delivery sector as an overreaction, noting that it employs a light-asset model by partnering with established companies like Meituan instead of building its own logistics [4] - This model minimizes upfront investment and allows Kuaishou to generate additional revenue through service commissions [4] Group 5 - JPMorgan reiterates Kuaishou as a top pick in China's digital entertainment sector, citing under-monetized advertising and e-commerce businesses, with projected compound annual growth rates of 13% for advertising and e-commerce commissions from 2026 to 2027 [6] - Kuaishou's user traffic remains stable and is not significantly impacted by the rapid growth of WeChat's video accounts, with a shift towards higher-margin advertising and e-commerce expected to boost profit margins [6] Group 6 - Despite a 73% rebound year-to-date, JPMorgan finds Kuaishou's valuation attractive, with current stock prices corresponding to 14/11 times the expected earnings for 2025/2026, while projecting a 20% compound growth rate for profits from 2026 to 2027 [8] Group 7 - JPMorgan sets a target price of HKD 88 for Kuaishou by the end of 2026, based on a 14 times expected earnings multiple for 2026, reflecting optimism about accelerated growth in core advertising and Keling's strong momentum [10]