Shares of Chinese entertainment platform operator Bilibili have received a notable boost from Wall Street analysts. Research firm Wall Street Zen has upgraded its rating on the stock from “Hold” to “Buy.” This positive sentiment could influence trading in the coming week, even as U.S. markets were closed for a holiday. The company’s Hong Kong-listed shares had already advanced by 2.2 percent this past Friday.
Financial Performance and Strategic Moves Drive Optimism
The rating revision reflects increasing confidence in Bilibili’s financial trajectory and strategic execution. A pivotal milestone was the company’s achievement of its first annual profit in 2025, underscoring its ongoing commitment to enhancing profitability. Key to this progress has been improved monetization, particularly within its advertising segment and its portfolio of self-developed games.
- Advertising revenue for the third quarter of 2025 saw a year-over-year increase of 23 percent, accounting for one-third of total revenue.
- The company’s gross margin has expanded significantly, rising from approximately 17 percent in 2022 to over 35 percent in 2025.
Robust User Engagement and Content Expansion
Bilibili continues to demonstrate impressive user loyalty and engagement metrics. Daily active users grew by nine percent in Q3 2025, with the average user spending 112 minutes per day on the platform. To further monetize its core young user base, Bilibili is introducing AI-powered advertising tools. Notably, time spent by users on AI-related content surged by nearly 50 percent during the same quarter.
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The platform is also actively broadening its content library. A comprehensive framework cooperation agreement with Jinjiang Original, which took effect on January 1, 2026, is designed to strengthen intellectual property collaboration and diversify its content offerings.
Wall Street Zen’s upgrade follows a series of favorable assessments from other institutions in recent months. For instance, Benchmark raised its price target to $29.00 in November 2025, while Sanford C. Bernstein increased its target to $32.00 in October of the same year.
The next significant data point for investors will be the quarterly earnings report expected around February 19, 2026. According to market observers, the current average analyst price target for Bilibili stands at $29.61, accompanied by a consensus rating of “Moderate Buy.” The stock closed at $33.40 this past Friday.
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