Core Viewpoint - NetEase (NTES.US) stock is experiencing strong performance driven by the success of evergreen games like "Naraka: Bladepoint" and anticipated acceleration in sales growth for Q3 [1] Group 1: Stock Performance - NetEase shares rose nearly 1% pre-market, reaching $156.25, and hit a new high after opening [1] - Goldman Sachs raised NetEase's target price from $145 to $161, maintaining a "Buy" rating [1] Group 2: Game Performance and Future Outlook - The strong stock performance is attributed to the exceeding expectations of evergreen games and the robust performance of traditional games [1] - Looking ahead to 2026, two upcoming major titles, "Sea of Remnants" and "Ananta," along with new successes in overseas markets, are expected to create a favorable product cycle [1]

Core Viewpoint - NetEase's Q2 performance slightly missed expectations, with total revenue and adjusted net profit growing year-on-year by 9.4% and 21.9%, reaching 27.9 billion yuan and 9.5 billion yuan, respectively, which were 2% and 1% lower than the bank's estimates [1] Group 1: Financial Performance - Total revenue for Q2 reached 27.9 billion yuan, reflecting a year-on-year growth of 9.4% [1] - Adjusted net profit for the same period was 9.5 billion yuan, showing a year-on-year increase of 21.9% [1] - The performance was slightly below the bank's expectations by 2% for revenue and 1% for net profit [1] Group 2: Gaming Segment Insights - The PC gaming segment faced a high comparison base due to "World of Warcraft" this quarter [1] - Mobile gaming is expected to recover to positive growth in Q3 due to a low comparison base and the resurgence of popular games [1] - NetEase launched the role-playing game "Marvel Mystic Mayhem" overseas in June and the shooting game "Rising Destiny" in August [1] Group 3: Future Prospects - The company has over 20 approved games in preparation [1] - Anticipated cross-platform games for next year include the ACG open-world game "Ananta" and the adventure role-playing game "Sea of Remnants" [1] - The bank maintains its adjusted net profit forecast and keeps the "outperform" rating with a target price of $140 unchanged [1]