01:35 AM EDT, 03/19/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We keep our 2024 earnings per ADS forecast unchanged after JOYY's ( YY ) in-line 2024 earnings release. We start our 2025 forecast at USD7.11. Our 12-month target price is cut to USD37 (from USD42), at 6.2x our 2024 forecast, and a discount to its three-year TTM average PE of 13x. We think this is appropriate given uncertainties on its business given the proposed cancellation of the acquisition of its former YY business by Baidu. JOYY ( YY ) noted that it still does not have operational control of YY despite Baidu notifying its intention since January 1, 2024. For its Bigo business, JOYY ( YY ) expects continuing revenue recovery, ex-adjustment of non-core products, and we project flat revenue in 2024. We see gross margin rising organically on cost control and growth for Bigo revenue. In 2023, revenue -6%, with live streaming revenue -11% on phase-out of non-core services, offset by growth for Bigo live streaming revenue. Gross margin +0.6%pt to 35.9% on lower revenue share and content costs. SG&A -9%, but R&D +13%.