Autohome price target lowered to $37 from $40 at HSBC

HSBC analyst Ritchie Sun lowered the firm’s price target on Autohome to $37 from $40 and keeps a Buy rating on the shares. The analyst says Soft demand and price competition weaken the company’s advertising outlook. Autohome’s diversification of revenue streams is on track, but more patience is needed, and margins “could take a hit first,” the analyst tells investors in a research note.