Jaffray bullish "Deer ding Kee" reiterated overweight rating

Sina Science and technology news Beijing time July 25, the United States investment company Piper Jaffray released a study in Monday, the latest online game "Deer Ding kee," said bullish, while maintaining a swim in the stock "overweight" rating. The following is the full report: As the "Deer Ding" in the July 22 after the public survey attracted a large number of players, we are confident that "deer Ding kee" will become a tour of the next heavyweight game. From July 22 to 24th, "Deer Ding Kee" added 76 new servers, bringing the total number of servers to 102. And we had expected that by the fourth quarter of 2011, the number of "Deer Ding" server will be 100. Although it is too early to make a judgment, we think the performance of the "Deer tripod" is likely to be better than our current forecast for the 2012 fiscal year. We currently expect 700,000 active paid accounts (APA) in the fourth quarter of 2012. And our analysis shows that on this basis, the "Deer Ding" active pay account for each 100,000 higher, a dip in the 2012 fiscal year earnings per share will increase by 0.11 dollars. We reaffirm our "overweight" rating on the shares and the 53 dollar target share price.　　This is equivalent to 9.3 times times the expected earnings per share of the 2012 fiscal year plus cash. "Deer Ding kee," the launch phase of the strong performance of our channel investigation shows that from July 22 to 24th, swim independently developed the online game "Deer Ding" has added 76 servers, making "The Deer Ding kee," the total number of servers reached 102.　　According to our survey, most of the "Deer Tripod" server in the July 23 prime time is very busy, players need to queue to log on to the server. "Deer Ding" performance or exceed expectations we estimate that the 102 servers in the "Deer tripod" can support more than 500,000 players. We expect the number of active paid accounts in the fourth quarter of 2011 and the fourth quarter of 2012 to be 450,000 and 700,000, respectively.　　Although we admit that it is too early to estimate the "Deer ding", the flow performance of the "Deer tripod" is already ahead of our expectations, and we think the game's 2012-year active billing account is likely to exceed our expectations. Core game "Tianlong eight" continue to maintain stability we found that as a tour of the flagship game, "Tianlong eight" still remain stable. Our latest channel survey shows that from the weekend of June 25 to the weekend of July 9, the number of servers running at full capacity increased from 121 to 125 units. On the weekends of July 16 and July 23, the number of servers running at full capacity is 137 units and 112 units.　　We believe that the July 16 full load operating server number is mainly due to the game July 8 content update. Target stock and ratings we rated "overweight" on the tour, with a target of 53 dollars.　　This is equivalent to 9.3 times times the expected earnings per share in 2012, plus 7.63 dollars in cash per share. Risk intellectual property content development and empowerment capabilities, economic growth uncertainty, competition, shorter game lifecycle, game release delays, executive capacity, price and government oversight. (Lili)