Bilibili jumps as investors price in JPMorgan upgrade and China App Store fee tailwind
Bilibili ADS (BILI) is moving higher as investors revisit a fresh JPMorgan upgrade to Overweight with a $35 price target and a bullish 2026 profit-growth outlook. The call also highlighted potential upside from Apple’s reduced App Store commission rate in China, viewed as a small but positive margin tailwind.
1. What’s moving the stock
Bilibili shares are up after buy-side focus returned to a recent JPMorgan rating change that upgraded the stock to Overweight and lifted the U.S.-listed target price to $35 from $27. The note framed the recent pullback as a dip-buying opportunity, arguing that increased AI investment should continue to support engagement and advertising monetization while operating leverage drives profit growth. (gurufocus.com)
2. The near-term fundamental backdrop
The upgrade lands after Bilibili reported a strong profitability step-up for Q4 2025, including adjusted net profit of RMB 878.4 million (+94% year over year) on RMB 8.32 billion of revenue (+8%), with advertising revenue up 27% year over year. The company also reported DAUs of 113.0 million (+10%) and average daily time spent of 107 minutes (+8%), reinforcing the engagement-and-ads narrative bulls are leaning on. (stocktitan.net)
3. Why this matters now
Beyond AI-driven operating efficiency, the JPMorgan thesis pointed to Apple’s reduced App Store commission rate in China as a potential incremental benefit for Bilibili, estimating a roughly 3% positive impact. For investors focused on margin durability after Bilibili’s return to profitability, even a modest platform-fee tailwind can be meaningful when combined with improving ad mix and operating leverage. (gurufocus.com)