0559 GMT - iQiyi's efforts to diversify its business with an artificial intelligence tool, expand overseas and broaden its advertising formats could need time to bear fruit, leading HSBC Global Investment Research analysts to retain their hold rating on the Chinese video-streaming platform. The analysts expect weaker subscription and advertising revenue to weigh in the near term. Pressure from reduction of its debt on its gross profits could also outweigh the benefits from AI optimization of iQiyi's operating expenditure, the analysts add. They cut their 2026-2028 revenue projections by around 1%-4% while trimming their 2027-2028 earnings estimates by 19%-26%. They expect the company to post a loss per share in 2026. HSBC cuts its target price to US$1.10 from US$1.50. ADRs last closed at US$1.13. (megan.cheah@wsj.com)

(END) Dow Jones Newswires

May 19, 2026 01:59 ET (05:59 GMT)

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