Citigroup: Raising the target price of Yuewen Group (00772) to HK$25, the profit for the first half of the year was slightly better than the bank's forecast

The Zhitong Finance App learned. According to a research report released by Citigroup (00772), the profit for the first half of the year was slightly better than the bank's forecast. The positive factors for the first half of the year's performance came from the strong performance of skits and AI animated dramas, as well as the growth momentum of GMV, an IP peripheral product, which increased 60% year over year. Pay close attention to the influence of AI animated dramas on other forms of entertainment (including long dramas and online reading). Following the announcement of the results, recent catalysts include the August release of the “Master of Secrets” game; it continues to use its abundant net cash of RMB 9.9 billion to repurchase shares. The “Buy” rating was maintained, and the target price was raised from HK$23 to HK$25 due to the inclusion of higher net cash and profit revisions.