UBS: Lower Taobao (06110.HK) target price to 3.55 Hong Kong dollars, rating "buy"

According to the Wisdom Finance APP, UBS released a research report stating that Tencent (06110.HK) is expected to have a 7% decrease in revenue and a 42% decrease in net profit for the 2025 fiscal year, to 27 billion and 1.286 billion RMB respectively. The second half of the fiscal year is expected to have revenue of 14 billion and a net profit of 411 million RMB, which is in line with the company's previous guidance. Although the dividend performance exceeded expectations, the management's outlook for profit stability in the 2026 fiscal year did not meet the banks expectations. The bank has lowered its target price from 3.6 Hong Kong dollars to 3.55 Hong Kong dollars and maintains a "buy" rating.