Core Viewpoint - UBS research report indicates that recent rumors of Kuaishou collaborating with Meituan to expand delivery services have raised market concerns about excessive competition. However, the firm believes the market has misinterpreted the collaboration, as Kuaishou will not directly engage in delivery services. Instead, this initiative is seen as Kuaishou further opening its ecosystem and traffic to Meituan, which could lead to additional advertising demand for Kuaishou [1] Group 1 - Kuaishou's collaboration with Meituan is not about direct involvement in delivery services, but rather about enhancing its ecosystem and traffic [1] - Since the launch of the AI 2.0 version in April, Kuaishou's revenue ranking in the iOS image design category in the US has significantly improved, with further growth observed in August [1] - UBS emphasizes that paid metrics are more indicative of business performance than user metrics, as user metrics may be influenced by media coverage [1] Group 2 - UBS maintains a "Buy" rating for Kuaishou, arguing that recent market concerns are overblown, with a target price set at HKD 95.37 [1] - The current price corresponds to a projected price-to-earnings ratio of 13.6 times for 2025, with an expected compound annual growth rate of 21% in earnings per share from 2024 to 2026, indicating attractive valuation [1]