[ET Net News Agency, 13 November 2018] Credit Suisse lowered its target price for
Kingsoft Corporation (03888) to HK$15.6 from HK$18.4 and maintained its "buy" rating.
The research house said Kingsoft's GAAP net loss reached Rmb59mn, better than consensus/
Credit Suisse's estimates of Rmb120mn/Rmb202mn.
In 2019, Credit Suisse expects mobile versions of JX II&III coming to market. The two
titles have received license approvals. For PC games, the research house expects a delay
in the expansion pack for PC game JX III in 2018 should help to drive growth in 2019.
Credit Suisse finetuned its estimates post better-than-expected results in 2018 but
lowered its earnings estimate by 7% to 17% in 2019 and 2020 factoring in its new online
games assumption amidst slower sector growth rate and higher costs assumptions. (KL)