Jefferies Raises KUAISHOU-W Target Price to $94

Jefferies has announced an increase in the target price for KUAISHOU-W (01024.HK) from $92 to $94, maintaining a 'Buy' rating. Management highlighted steady progress in the Kling AI model and AI empowerment across various business segments during a conference call. Jefferies has revised its 3Q25 revenue forecast for KUAISHOU-W to a 13% year-on-year increase, 2 percentage points higher than its previous forecast. The Gross Merchandise Volume (GMV) is expected to grow by 15%, up 3 percentage points. Other revenue growth forecasts have been increased by 19 percentage points to 36%, reflecting growth in e-commerce and Kling revenue. The non-IFRS net profit for 3Q25 is projected to be RMB 4.84 billion, surpassing the prior estimate of RMB 4.3 billion. Jefferies has maintained its 2025 revenue and non-IFRS earnings forecasts for the company but raised its full-year revenue forecast for Kling by 25% to US$125 million.