NetEase (NTES) Rises on Strong PC Game Performance and Goldman Sachs Upgrade

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Jan 13, 2025
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NetEase (NTES, Financial) experienced a notable pre-market increase of 4.27% in U.S. stocks, while its H-shares closed up by 1.3%. The positive movement follows a report from Goldman Sachs, which raised the valuation of NetEase's PC gaming segment. This adjustment comes as the company's new PC shooting game, "Marvel Duel," has shown strong growth since its launch last month.

Goldman Sachs forecasts a 9% year-over-year recovery in NetEase's gaming revenue for this year, attributing it to the robust performance of "Marvel Duel." Consequently, the investment bank has increased its 12-month target price for NetEase's ADRs to $116 and its H-shares to HKD 181, up from previous targets of $109 and HKD 169, respectively.

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