Nomura launches investment Report today

Nomura issued its investment report today to maintain the "buy" rating of the Nasdaq:amap software stock, which lowered its target share price from $18 to $17.

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

The German software announced yesterday that it would provide mobile navigation applications free of charge. At the same time, Baidu also announced free to provide its mobile map applications.

There is no need for investors to be worried because the software is winning market share. Once the number of users reaches a certain scale, it can benefit from lbs service.

We agree with the view of the software management, thanks to the promotion of network quality, as well as the rise of Internet map service providers such as Baidu, the offline map based on authorization will eventually turn to free offline map.

Also, the company has a strong partner such as Alibaba. Alibaba invested in the company's software this May, so the company has ample cash to expand its new business model. Moreover, the strategy is in line with the goal of a mobile internet gateway for Alibaba's E-commerce platform and services.

As the new strategy will bring short-term pain to the company, Nomura has lowered its software target price from $18 to $17. But in view of the long-term bright future, Nomura continues to maintain the "buy" rating of the High German software.