Nomura: Tencent Holdings (00700.HK) continues to deliver impressive first-quarter performance, target price raised to 670 Hong Kong dollars.

According to the Wisdom Financial APP, Nomura released a research report stating that, despite macroeconomic uncertainties, Tencent Holdings (00700.HK) still achieved outstanding performance in the first quarter. Online gaming and advertising businesses exceeded expectations, driving revenue and non-IFRS earnings per share to increase by 13% and 25% year-on-year respectively, exceeding the market's general expectations by 2.5% and 3%. During the period, online gaming revenue increased by 24% year-on-year, surpassing market forecasts by 8 percentage points. Both local and international games achieved strong growth, with flagship games such as "Honour of Kings" and "Game for Peace" setting record highs in total revenue. Nomura expressed surprise at this. Nomura maintains a "buy" rating on Tencent, raising its target price from 468 HKD to 670 HKD, and raising its EPS forecast for this and next year from 26.15 and 28.87 RMB to 27.32 and 30.59 RMB.