Market Overview

Goldman Sachs: China's Huya Well-Positioned In E-Sports, But Fully Valued

Goldman Sachs: China's Huya Well-Positioned In E-Sports, But Fully Valued

By 2019, 427 million people will be watching e-sports, according to Newzoo. In China, Huya Inc. (NYSE: HUYA) is the market-leading streaming platform, according to Goldman Sachs. 

The Analysts

Goldman Sachs analyst Piyush Mubayi initiated coverage of Huya with a Neutral rating and $34 price target. 

The Thesis

Huya is well-positioned to benefit from the growing online game community and live streaming updraft based on the company’s No. 1 spot in monthly active users and user time spent, Mubayi said in the initiation note. (See the analyst's track record here.) 

“Game livestreaming is an attractive segment as the streaming content taps into the gamer cohort, one of the fastest-growing user bases in China,” the analyst said. 

Huya's overall growth will be driven by an expanding user base and improved monetization, Mubayi said. E-sports are strongly gaining more viewership than traditional sports in some cases, placing Huya in a favorable position, the analyst said. 

Strategic relationships with companies such as Tencent will likely help Huya in the marketing of new and existing games while developing more exposure to other entertainment spaces, according to Goldman Sachs. 

Mubayi's Neutral stance is due to the stock being fully priced, the analyst said. 

Price Action

Huya shares were trading down 3.35 percent to $32.32 at the time of publication Friday. 

Related Links:

Benzinga's Top Upgrades, Downgrades For August 3, 2018

A Look At IPOs So Far In 2018 

Latest Ratings for HUYA

Nov 2020China RenaissanceDowngradesBuyHold
May 2020B of A SecuritiesReiteratesBuy
May 2020Credit SuisseDowngradesOutperformNeutral

View More Analyst Ratings for HUYA
View the Latest Analyst Ratings


Related Articles (HUYA)

View Comments and Join the Discussion!

Posted-In: Goldman Sachs NewzooAnalyst Color Price Target Initiation Analyst Ratings Tech Media Best of Benzinga

Latest Ratings

ESTCCanaccord GenuityMaintains150.0
AVAVCanaccord GenuityMaintains98.0
OKTACanaccord GenuityMaintains250.0
SNOWCanaccord GenuityMaintains275.0
RCMSVB LeerinkMaintains26.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at