In the second quarter, when revenue rose 53%

Barclays http://www.aliyun.com/zixun/aggregation/549.html "to release the investment report, to maintain when the stock" reduction "(underweight) rating, the target share price from 6.3 U.S. dollars to 5.7 U.S. dollars.

The following is a summary of the contents of the report:

In the second quarter, when revenue grew 53% per cent year-on-year, slightly higher than expected. Third-quarter guidance revenue is expected to increase 40% year-on-year, relatively weak.

Due to intense market competition and higher sales and marketing, as well as technology spending, the profit margin of the second quarter fell 110 benchmark points.

Although when the "transition to the market" strategy will improve profitability, but we think when there is not much competitive advantage, will face the strong challenges of the cat and QQ Mall.

We believe that revenue growth has been slow and margins have not improved, making the time when the profit schedule becomes uncertain.

Therefore, we maintain a "reduction" in the stock rating, the target share price from 6.3 U.S. dollars to 5.7 U.S. dollars.