Pacific Crown Securities publishes a research report today to give the perfect world share to outperform

The following is a summary of the report:

The perfect world's second-quarter revenue was $1.154 trillion, higher than our forecast of $1.065 trillion, but gross profit margins and operating costs offset revenue growth, resulting in 0.27 U.S. dollars per share (EPS) of US GAAP, below our projected $0.32 trillion.

Third-quarter guidance for revenue growth, but projected spending continues to rise. As a result of the new game "The Holy Warrior Star ol", "Smile AO Lake ol", "No Winter Night Ol" the launch of the Perfect world in the third quarter of the guidance of the sales chain growth 10% to 15%. However, in order to promote these new games, the company expects sales and marketing costs will continue to increase in the near future.

We think "DOTA 2" is the next major growth driver. Although multiplayer online games (MOBA) per-user average income (ARPU) is generally lower than large multiplayer games (MMO), but with "DotA" the existing large number of player base, we will "DotA 2" as the next major growth engine of the perfect world. "DOTA 2" is now in the beta phase, is expected to be launched at the end of this year.

We raised our target share price to $22, which is 7 times times the latest forecast for 2014 for EPS 1.98 and net cash per share.