0222 GMT - Bilibili's advertising segment continues to be its main growth driver, says Morningstar's Ivan Su in a note. Upgrades to the Chinese video-streaming platform's advertisement-to-user matching function are boosting the ad division's revenue, with early updates adding 3.0% to Bilibili's 1Q ad top line. Further improvements could lift ad prices by more than 5.0% in 2H, he adds, "We view AI as an amplifier--not as a threat--because Bilibili monetizes user attention, not content," the analyst says. He expects advertising revenue to grow at a five-year 20% compound annual growth rate. Morningstar retains its fair-value estimates of US$36.00 on Bilibili's ADRs and 280 Hong Kong dollars on its Hong Kong-listed stock. ADRs last closed at US$17.59, while shares fall 0.8% to HK$135.10. (megan.cheah@wsj.com)

(END) Dow Jones Newswires

July 13, 2026 22:22 ET (02:22 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.