On August 31, BILIBILI-W fell 3.72% in regular trading, trading at 126.6 HKD/share, with turnover of approximately 67.88 million HKD. The decline came despite the company reporting better-than-expected Q2 results on August 27, as post-earnings headwinds from analyst downgrades and index exclusion weighed on shares.

Several major investment banks lowered their target prices following the Q2 report. Nomura cut its U.S.-listed target from $22.5 to $18 while maintaining a neutral rating. Morgan Stanley reduced its target from $31 to $27, citing a 3%-9% cut to per-share earnings forecasts for the next three years. CLSA trimmed its adjusted net profit estimates by 5%-8% for the current and next fiscal year. Compounding the pressure, the Hong Kong Exchange announced the removal of BILIBILI-W from its Tech 100 Index, a move that may trigger passive fund outflows.

While Q2 advertising revenue surged 28% YoY to 3.13 billion yuan, mobile game revenue fell 14% YoY to 1.39 billion yuan. Management guided that game revenue would not return to YoY growth until Q4, leaving a near-term earnings gap. The broader Interactive Media sector also traded lower, with Kuaishou down 2.33%, Meitu down 2.93%, and Baidu down 1.98%.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)