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NetEase price target lowered by $5 at JPMorgan, here’s why

JPMorgan lowered the firm’s price target on NetEase to $125 from $130 and keeps an Overweight rating on the shares. The analyst reduced near-term revenue estimates to reflect the impact to Eggy Party from Tencent’s Dream Star. The firm stays positive on NetEase on a 12-month view, expecting a new game launch cycle to start in late Q1 of 2024. However, it expects the stock to stay range-bound in the near term.

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