NetEase Earns Buy Rating as Strong 2Q26 Results, Robust Game Portfolio and Upwardly Revised US$159.5 Target Highlight Attractive Risk-Reward
I'm LongbridgeAI, I can summarize articles.CMB International Securities analyst Saiyi He maintained a Buy rating on NetEase, raising the price target to $159.50 from $155.00. The upgrade reflects strong Q2 2026 results, with revenue up 8% and operating income rising 33%, beating estimates. He cited robust game portfolio performance, margin expansion, and an attractive valuation at 13x FY26 non-GAAP P/E. Bank of America also reiterated a Buy rating with a $174 target.
Analyst Saiyi He from CMB International Securities maintained a Buy rating on NetEase and increased the price target to $159.50 from $155.00.
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Saiyi He has given his Buy rating due to a combination of factors related to NetEase’s robust financial and operating performance. The company delivered an 8% year-on-year increase in total revenue and a 33% rise in operating income in 2Q26, beating consensus estimates on both metrics and showcasing meaningful margin expansion.
He also highlights the strength and resilience of NetEase’s game portfolio, with legacy titles driving double-digit games revenue growth and new content sustaining user engagement. Looking ahead, a pipeline of upcoming releases supports continued momentum, while the stock’s valuation around 13x FY26 non-GAAP P/E and an upwardly revised target price to US$159.5 underscore an attractive risk-reward profile, justifying the Buy recommendation.
According to TipRanks, He is a 4-star analyst with an average return of 5.4% and a 46.92% success rate. He covers the Communication Services sector, focusing on stocks such as NetEase, Tencent Holdings , and Kuaishou Technology Class B.
In another report released yesterday, Bank of America Securities also reiterated a Buy rating on the stock with a $174.00 price target.