Morgan Stanley Resumes Coverage on Bilibili with Overweight Rating, Sets $21 Price Target

Deep News11-10

Morgan Stanley has resumed coverage of Bilibili Inc. (NASDAQ: BILI) with an Overweight rating.

The firm expects Bilibili to outperform its peers in advertising growth next year and achieve a business recovery, driven by a diversified pipeline of new games.

Analysts led by Yang Liu noted in a research report that Bilibili's advertising business is poised to outperform peers, supported by healthy growth in user engagement and the expansion of multi-screen application scenarios.

The report estimates that after a decline in 2026, total game revenue will grow 27% next year, fueled by major new titles such as San Wang and Three Kingdoms: The Ravage of Times.

Gross margins are expected to improve, while fixed costs are projected to remain under control.

The price target is set at $21, compared with the previous trading day's closing price of $14.31 for the company's American Depositary Receipts (ADRs).

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