0814 GMT - Chinese social-media company Newborn Town could face some short-term headwinds, Citi analysts say in a research note. They highlight the company's first-half revenue guidance, which triggered a 6% drop in the share price the following day. With revenue from social networking 3% below Citi's estimate for 1H, the analysts think the market may demand more evidence on the monthly active user trend for key social-networking products, as well as updates on new product releases for the social-networking business. "Additional concerns over visibility for short-drama monetization and AI investment target may drive near-term stock-price volatility," they say. Citi keeps a buy rating but lowers the target price to HK$13.00 from HK$16.00 given the sector's derating. Shares fall an additional 5.8% to HK$8.18. (tracy.qu@wsj.com)
(END) Dow Jones Newswires
July 24, 2026 04:14 ET (08:14 GMT)
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