CMB International Securities analyst Saiyi He maintained a Buy rating on Weibo (WB – Research Report) on March 14 and set a price target of $14.50.
Saiyi He has given his Buy rating due to a combination of factors including Weibo’s financial performance and strategic investments. Despite a mixed advertiser sentiment, Weibo reported a significant increase in non-GAAP net income, which grew by 40% year-over-year, surpassing consensus estimates. This growth was largely driven by effective operational expense control.
Moreover, Weibo’s strategic focus on AI investments, such as the integration of DeepSeek into its Intelligent Search product, has improved its search capabilities and ad return on investment. The company also announced an annual dividend policy, offering an attractive yield, which enhances shareholder value. These factors, combined with expected revenue growth in certain verticals like 3C and e-commerce, underpin Saiyi He’s positive outlook on Weibo’s stock.
In another report released on March 13, Jefferies also maintained a Buy rating on the stock with a $12.10 price target.