Huya upgraded to Neutral from Underweight at JPMorgan

JPMorgan upgraded Huya to Neutral from Underweight with a price target of $3, up from $2.30. The analyst sees a better outlook for the China live streaming industry in 2023. China’s reopening should drive better virtual tipping consumption demand versus 2022 and increased game supply will to drive game streaming traffic, the analyst tells investors in a research note. The analyst also sees a more benign regulatory environment in 2023. For Huya, the firm says the stock is trading at a deep discount to its net cash position.