Latest news for China Literature (OTC:CHLLF) Stock

China Literature Ltd is an investment holding company. The company along with its subsidiaries provides online reading services, copyright commercialization, writer cultivation and brokerage, and operation of text work reading. It generates its revenue from Online reading through self-owned platform products. it operates in two segments: Online business and Intellectual property operations and others. The Online business segment that derives the majority of revenue comprises online paid reading, online advertising, and game publishing. The Intellectual property operations and other segment include licensing and distribution of film and television properties, copyrights licensing, sales of adaptation rights and scripts, sales of physical books, and in-house online games operations.

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Key Takeaways:


	Huya is looking to use the APKpure acquisition to better promote and distribute games internationally 
	Tencent is eager to divest non-core businesses as the Chinese government continues to tighten gaming regulations


By Li Shi Ta

Out With The Old… Tencent Sells App Store To Huya

CHINA LITERATURE LTD by China Literature Limited

China Literature Ltd

Wells Fargo analyst Derek Archila downgrades Cabaletta Bio (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CABA#NASDAQ">CABA</a>) from Overweight to Equal-Weight and lowers the price target from $12 to $6.

News

Downgrades

Price Target

Analyst Ratings

CABA

Wells Fargo Downgrades Cabaletta Bio to Equal-Weight, Lowers Price Target to $6

Keybanc analyst Eric Heath upgrades Fortinet (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FTNT#NASDAQ">FTNT</a>) from Sector Weight to Overweight and announces $115 price target.

Upgrades

FTNT

Keybanc Upgrades Fortinet to Overweight, Announces $115 Price Target

Deutsche Bank analyst Steve Powers maintains General Mills (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GIS#NYSE">GIS</a>) with a Hold and lowers the price target from $72 to $68.

Deutsche Bank Maintains Hold on General Mills, Lowers Price Target to $68

Deutsche Bank analyst Krisztina Katai maintains Birkenstock Holding (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BIRK#NYSE">BIRK</a>) with a Buy and raises the price target from $65 to $66.

BIRK

Deutsche Bank Maintains Buy on Birkenstock Holding, Raises Price Target to $66

Wells Fargo analyst Derek Archila upgrades C4 Therapeutics (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CCCC#NASDAQ">CCCC</a>) from Equal-Weight to Overweight and raises the price target from $8 to $12.

CCCC

Wells Fargo Upgrades C4 Therapeutics to Overweight, Raises Price Target to $12

Biotech

Health Care

NLSP

NLS Pharmaceutics And Kadimastem In Collaboration With iTolerance Announced That Request For Pre-Investigational New Drug Meeting Has Been Submitted To The FDA For iTOL102 For Type 1 Diabetes

The Company's net income for 1H 2024 was $44,000 as compared to net loss of $255,000 for 1H 2023 resulting from increase in gross profit.

CLWT

Euro Tech Holdings H1 2024 Revenue $7.259M, Down From $7.957M YoY

Keybanc analyst Eric Heath upgrades Okta (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/OKTA#NASDAQ">OKTA</a>) from Sector Weight to Overweight and announces $115 price target.

OKTA

Keybanc Upgrades Okta to Overweight, Announces $115 Price Target

Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) is reportedly in early discussions with officials of the city of Austin, Texas, to roll out its <a href="https://www.benzinga.com/topic/tesla-cybercab">autonomous vehicles for testing</a> as early as 2025.
What Happened: Elon Musk-led Tesla's driverless vehicle ambitions could get a boost if its discussions with Austin City bear fruit.
According to a <a href="https://www.bloomberg.com/news/articles/2024-12-19/tesla-sounds-out-austin-officials-about-long-promised-driverless-fleets">report</a> by Bloomberg, a Tesla employee has been in touch with Austin city officials since as early as May to create a safety framework for deploying driverless fleets.
Reacting to the news, the Tesla stock surged over 3% in premarket trading to hover at $453.91, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro data</a>.
See Also: <a href="https://www.benzinga.com/tech/24/12/42570564/tesla-says-powerwall-owners-generated-4-5-twh-of-solar-energy-this-year-amid-energy-segment-revenue-boom">Tesla Says Powerwall Owners Generated 4.5 TWh Of Solar Energy This Year Amid Energy Segment Revenue Boom</a>
Why It Matters: Tesla's autonomous driving ambitions have been a key area of focus as analysts determine the impact of a driverless fleet on the EV giant's prospects.
Wedbush analyst Dan Ives and long-time Tesla bull thinks the Tesla stock could hit the <a href="https://www.benzinga.com/24/12/42455654/wedbush-securities-sees-tesla-touching-2-trillion-market-cap-by-2025-end-apple-microsoft-nvidia-to-join-4-trillion-market-cap-club-next-year-says-analyst">$2 trillion market capitalization mark</a> by the end of 2025, in a bull-case scenario.
"We believe with the autonomous story at Tesla worth $1 trillion alone that in a bull case scenario by the end of 2025, Tesla could achieve a $2 trillion market cap threshold," Ives said. "FSD, autonomous, and the launch of Cybercab for early 2026 are keys for Tesla.&#8221;
Tesla has also been <a href="https://www.benzinga.com/tech/24/11/42230503/tesla-cybercab-spotted-testing-in-giga-texas-facility">spotted testing the Cybercab</a> at the Giga Texas facility. A video shared on social media showcased the Cybercab navigating traffic autonomously within the premises.
Price Action: On a year-to-date basis, the stock is up 77.2%. <a href="https://www.benzinga.com/quote/TSLA/analyst-ratings">Here&#8217;s what other analysts are saying.</a>
Check out more of Benzinga's Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link.</a>
Read Next:
<ul>
<li><a href="https://www.benzinga.com/24/12/42571913/tesla-registrations-drop-by-nearly-41-in-november-in-eu-dragging-down-optimism-for-over-500000-ev-deliveries-in-q4">Tesla EU Registrations Plunge 41% In November, Casting Shadow On Q4 Target Of Over 500,000 EV Deliveries</a></li>
</ul>
Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Image via Tesla

Equities

Tech

TSLA

Tesla Reportedly In Talks With Austin To Bring Autonomous Vehicles To Texas Roads: Elon Musk-Led EV Giant Rises 3% In Pre Market

Wells Fargo analyst Steven Cahall upgrades Tegna (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TGNA#NYSE">TGNA</a>) from Equal-Weight to Overweight and announces $23 price target.

TGNA

Wells Fargo Upgrades Tegna to Overweight, Announces $23 Price Target

Wells Fargo initiates coverage on Pennant Gr (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PNTG#NASDAQ">PNTG</a>) with a Equal-Weight rating and announces Price Target of $33.

Initiation

PNTG

Wells Fargo Initiates Coverage On Pennant Gr with Equal-Weight Rating, Announces Price Target of $33

Wells Fargo analyst Derek Archila downgrades Monte Rosa Therapeutics (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GLUE#NASDAQ">GLUE</a>) from Overweight to Equal-Weight and lowers the price target from $14 to $11.

GLUE

Wells Fargo Downgrades Monte Rosa Therapeutics to Equal-Weight, Lowers Price Target to $11

Conagra Brands Lowers FY25 Outlook: Sees Adjusted EPS Between $2.45-$2.50 Vs. $2.58 Estimate (Prior View: $2.60-$2.65), Projects Organic Net Sales Near The Midpoint Of (1.5)% To Flat YoY

The new facility will accommodate drone manufacturing and assembly, R&amp;D, sales, pilot, and training teams, and has an aeronautical test range site for demonstrations.

ZENA

ZenaTech Subsidiary Moves Into Its Manufacturing Facility In Phoenix, Arizona To Produce US Defense And Nato Drones, Part Of Efforts To Produce 'Made In America' Drones

Contracts

DFLI

Dragonfly Energy Has Secured A Large Purchase Order For Delivery Of The Company's Battle Born All-Electric APUs From Stevens Transport

Deutsche Bank analyst Matt Niknam upgrades Hewlett Packard (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HPE#NYSE">HPE</a>) from Hold to Buy and maintains the price target from $25 to $25.

Deutsche Bank Upgrades Hewlett Packard to Buy, Maintains Price Target to $25

Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) has rebounded to $102,250 after taking a nosedive on Thursday following <a href="https://www.benzinga.com/economics/macro-economic-events/24/12/42563299/feds-powell-shocks-markets-its-a-new-phase-were-significantly-closer-to-neutral">the FOMC meeting</a>.
What Happened: Bitcoin cratered from above $105,000 before Thursday&#8217;s trading session to a low of $98,839 during U.S. night time hours. 
It has since rebounded and is down 2.5% over the past 24 hours.
Crypto chart analyst Ali Martinez explained in an X <a href="https://x.com/ali_charts/status/1869520970832138261">post</a> following the Fed meeting that the reaction wasn't due to the 25-bps rate cut, which was largely expected, but rather concerns over persistent inflation and the possibility of prolonged elevated interest rates.
Despite the negative sentiment, Martinez advised traders to &#8220;keep calm, don't panic sell,&#8221; emphasizing that markets dislike uncertainty but typically stabilize once clarity emerges.
Coinglass data reveals that total liquidations in the past 24 hours amounted to $788.5 million, with over 269,623 traders liquidated.
Also Read: <a href="https://www.benzinga.com/markets/cryptocurrency/24/12/42554929/donald-trump-reportedly-discussed-bitcoin-reserve-in-meeting-with-cryptocom-ceo-kris-marszalek">Donald Trump Reportedly Discussed Bitcoin Reserve In Meeting With Crypto․com CEO Kris Marszalek</a>
Why It Matters: Fed Chair Jerome Powell added to market jitters by calling the decision a "closer call," hinting at divisions within the Federal Reserve. 
This boosted the U.S. Dollar to its highest level since 2022, putting pressure on risk assets like Bitcoin, which experienced a sharp drop.
In a separate tweet, Martinez highlighted funding rates suggesting leveraged positions:
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
<div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Funding rates look like we should go 100x leverage! &#x1f605; <a href="https://t.co/dLyDhlHI37">pic.twitter.com/dLyDhlHI37</a>
&mdash; Ali (@ali_charts) <a href="https://twitter.com/ali_charts/status/1869699700162482186?ref_src=twsrc%5Etfw">December 19, 2024</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
</figure>
He also <a href="https://x.com/ali_charts/status/1869651554099499318">noted</a>, &#8220;Binance traders were right; we should have shorted Bitcoin.&#8221; 
Martinez previously noted that 62.6% of Binance traders with open BTC futures positions were going short, aligning with the bearish market sentiment.
Key takeaways from the Fed meeting included the expectation of fewer rate cuts in 2025 (down from three to two), higher inflation forecasts for 2025 (2.5%) and 2026 (2.1%), exceeding the Fed&#8217;s 2% target, and an acknowledgement that inflation metrics like core CPI, core PCE and PPI are ticking up.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/markets/cryptocurrency/24/12/42560698/microstrategys-aggressive-bitcoin-strategy-raises-eyebrows-in-crypto-community">MicroStrategy&#8217;s Aggressive Bitcoin Strategy Raises Eyebrows In Crypto Community</a></li>
</ul>
Image created using artificial intelligence with Midjourney.

Coverage of Bitcoin, Etherum, Ripple and all the latest digital currencies.

Cryptocurrency

$BTC

Bitcoin Price Rebounds Above $102,000 After Fed Meeting Calamity: Why Is BTC Going Up?

Altimmune Will Be Added To The Nasdaq Biotechnology Index Effective Prior To The Market Open On December 23, 2024

Creedon joined Dollar Tree in 2022 as Chief Operating Officer and over the past two years has taken on increasing levels of responsibility.
In November 2024, Creedon was appointed Interim Chief Executive Officer, succeeding Rick Dreiling. Creedon has responsibility for leading more than 200,000 associates and more than 16,000 stores across the Dollar Tree and Family Dollar banners.

Management

DLTR

Dollar Tree Appoints Interim CEO Michael C. Creedon As Permanent CEO

Wells Fargo analyst Derek Archila downgrades Viridian Therapeutics (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/VRDN#NASDAQ">VRDN</a>) from Overweight to Equal-Weight and announces $27 price target.

VRDN

Wells Fargo Downgrades Viridian Therapeutics to Equal-Weight, Announces $27 Price Target

China Literature (HK:0772) has released an update. China Literature Limited has announced that its Board of Directors will convene on August 12, 20...

China Literature Schedules Key Financial Review

China Literature: Short-Term Prospects And Long-Term Potential In The Spotlight

China Literature (HK:0772) has released an update. China Literature Limited has reported a robust financial performance for the first half of 2024,...

China Literature Reports Strong Mid-Year Financials

China Literature (HK:0772) has released an update. China Literature Limited has announced the renewal of their Copyright License Agreement and the ...

China Literature Renews and Revises Tencent Agreements

China Literature reports 1H results

China Literature (HK:0772) has released an update. China Literature Limited has announced the grant of 2,747,957 share options to certain employees...

China Literature Rewards Staff with Share Options

China Literature (HK:0772) has released an update. China Literature Limited has announced the grant of 8,141,745 restricted share units (RSUs) to 3...

China Literature Awards RSUs to Directors and Employees

China Literature (HK:0772) has released an update. China Literature Limited has announced the resignation of Mr. James Gordon Mitchell as the non-e...

China Literature Announces Board Leadership Changes

China Literature (HK:0772) has released an update. China Literature Limited has announced the composition of its board of directors, including exec...

China Literature Unveils Updated Board Structure

China Literature (HK:0772) has released an update. China Literature Limited has announced a revision of the annual caps for its 2024 Media Producti...

China Literature Revises Media Production Caps with Tencent

China Literature

<h4>Key Takeaways:</h4>

<ul>
	<li>Huya is looking to use the APKpure acquisition to better promote and distribute games internationally&nbsp;</li>
	<li>Tencent is eager to divest non-core businesses as the Chinese government continues to tighten gaming regulations</li>
</ul>

By&nbsp;Li Shi Ta

First an animation platform, now an app store.&nbsp;Tencent Holdings Ltd.&nbsp;(OTC:<a class="ticker" href="https://www.benzinga.com/stock/TCEHY#OTC">TCEHY</a>)&nbsp;has been doing some end-of-year decluttering.

The tech titan sold Tencent Animation to&nbsp;China Literature Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/CHLLF#OTC">CHLLF</a>)&nbsp;two weeks ago. And on Dec. 22, the livestream gaming company&nbsp;Huya Inc.&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HUYA#NYSE">HUYA</a>) revealed in a U.S. securities&nbsp;<a href="https://www.sec.gov/Archives/edgar/data/1728190/000110465923128568/tm2333598d1_6k.htm">filing</a>&nbsp;that it had bought a&nbsp;global provider of mobile app services from Tencent for an initial price tag of $81 million (580 million yuan).

Huya did not name the acquired company, but media outlets reported that Tencent&rsquo;s overseas app store, APKpure, was the business in question.

With the purchase, Huya is looking to boost its ability to promote and distribute international gaming apps, as well as fostering&nbsp;synergy with its own overseas livestream gaming platform, NimoTV. Investors welcomed the APKpure acquisition as a positive strategy move, sending Huya&rsquo;s stock price around 4% higher on Dec. 26.&nbsp;

APKpure, bought by Tencent in 2021 from another Internet company, is an international app store specializing in providing the most complete versions of various apps, games and programs.

Both China Literature and Huya can use their new assets to drive their existing businesses. Meanwhile, Tencent is intent on splitting off peripheral parts of its sprawling tech empire as the Chinese authorities tighten the screws on the gaming sector.&nbsp;

<h3>Policy Straitjacket&nbsp;</h3>

The government has rolled out a series of measures to limit minors&rsquo; exposure to internet gaming. In the latest move, regulators published a set of draft rules on Dec. 22 designed to restrict rewards and incentives for gamers. The document from the National Press and Publication Administration outlined curbs on inducements for daily sign-ins and in-game purchases, as well as a crackdown on reward schemes such as auctions of virtual gaming props.

After the proposed rules were unveiled, shares in gaming company&nbsp;NetEase&nbsp;(9999.HK)&nbsp;plunged 24.6% and Tencent&rsquo;s stock shed more than 12.4%. The two giants had a combined HK$504.5 billion wiped off their market value.

With the gaming sector in turmoil, state broadcaster CCTV said on Dec. 23 that the authorities had decided to review the proposals in light of stakeholders&rsquo; concerns and were open to tweaking the measures. Market watchers speculated that the regulators might revise caps on the amount of in-game purchasing and the permitted number of logged-in hours.&nbsp;

Whatever the outcome, Tencent is determined to trim the fat. Tencent President Martin Lau said last month the company would focus on activities with high growth potential and would downsize low-margin businesses. The company has also been working in recent years on cutting costs and boosting efficiency.

<h3>A Business Clear-Out&nbsp;</h3>

Tencent has been shutting down various non-core operations since last year. And market data shows it has made new investments in only 35 companies since the start of 2023, the lowest number in nearly a decade.&nbsp;

Among the discontinued services and products over the past two years are Tencent Todo, the audio platform Penguin FM, Tencent&rsquo;s e-commerce QQ Store, the livestream platform Penguin Gaming and the news product Kandian Kuaibao. The social media platform NOW livestreaming also went offline at the end of the month, with its users moving to Huya.

Meanwhile, Huya has been looking for new growth engines as the frenzy for livestream gaming fades. The company&rsquo;s&nbsp;<a href="https://www.prnewswire.com/news-releases/huya-inc-reports-third-quarter-2023-unaudited-financial-results-301987264.html">latest results</a>&nbsp;show revenues fell 30.7% to 1.65 billion yuan in the third quarter from the year-earlier period and slipped 10% from 1.82 billion yuan in the preceding quarter. Revenues have been falling for eight consecutive quarters since the final quarter of 2021.&nbsp;

More than 90% of Huya&rsquo;s revenue comes from livestreaming, which has been under sustained regulatory pressure. Livestreaming income in the third quarter of 2023 was 1.53 billion yuan, down 24% from the same period last year, while the number of paying users in the quarter fell from 5.5 million&nbsp;to 4.2 million.&nbsp;

And the woes keep piling up. A highly popular Huya anchor who live-streamed the game&nbsp;Honor of Kings, Zhang Daxian, defected to the rival livestreaming platform Douyin. His first Douyin livestream on Dec. 2 attracted more than 60 million viewers. The loss of market-leading anchors has cost the platform many users.&nbsp;

<h3>Seeking Game Changers</h3>

Huya has been looking to develop less controversial gaming-related services to bolster its growth prospects. These include gaming distribution, gaming prop sales, in-gaming advertising and other operations that face less regulatory pressure. The acquisition of APKpure fits into this strategic context.

Tencent is a major Huya shareholder, holding 46.7% of its shares and 70.3% of the voting rights at the end of March 2023. Six months ago, Tencent Vice President Lin Songtao replaced Huang Lingdong as Huya&rsquo;s chairman. And three months ago, Dong Rongjie, who led Huya&rsquo;s IPO, stepped down as chief executive to be succeeded by senior VP Huang Junhao and financial VP Wu Xin as co-CEOs.&nbsp;

Notably, Lin headed many of Tencent&rsquo;s key projects such as the instant messaging app QQ, QZone, Open Platform and the software management app Yingyongbao. Even as Huya&rsquo;s chairman, he will continue to hold Tencent positions and oversee the Yingyongbao project.&nbsp;

Lin has described Huya as being on a three-year mission to boost gaming-related services as a proportion of revenue, seeking to build a more balanced income structure for long-term growth.

Falling revenue is a common problem among livestream gaming companies, and over-reliance on a single revenue source could harm future prospects.

Facing fierce competition from Douyin and&nbsp;Bilibili&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BILI#NASDAQ">BILI</a>), Huya&nbsp;badly needs new growth drivers after losing top anchors. The latest deal may be just a fat-trimming exercise for Tencent, but for Huya it could prove to be more of a game changer.

This article is from an external contributor. It does not represent Benzinga&#39;s reporting and has not been edited for content or accuracy.

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