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UBS Slashes KUAISHOU-W (01024.HK) TP to $68, Cuts 2026-2028 EPS Forecasts by 32-34%
2026-03-27 15:01:19
KUAISHOU-W (01024.HK)'s 4Q25 results were largely in line with expectations, UBS issued a research report saying.

Considering macroeconomic uncertainties, higher AI investment and regulatory headwinds, the broker lowered its short-term forecasts. However, UBS believed that the Company's negative factors have been largely priced in.

With Kling AI becoming a global competitor in the short video generation field, and KUAISHOU-W being one of the lowest-valued companies in the global AI industry, UBS kept rating at Buy.

Nevertheless, the broker reduced its 2026 revenue forecast for the Company by 5%, and lowered its gross margin forecast by 346 bps to 52.7%. Meanwhile, UBS increased its R&D expenditure forecast.

Therefore, the broker cut its 2026-2028 EPS forecasts for the Company by 32-34%, and slashed its target price from $108 to $68.
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