Mizuho analysts initiated a Buy rating for Bilibili (NASDAQ:BILI) with an $18 price target, citing the company's potential to more than double its total addressable market through product transitions.

The analysts anticipate Bilibili to accelerate its revenue growth to double digits and achieve profitability by fiscal 2024. The analysts also highlighted Bilibili's efforts in enhancing ad monetization and expanding into live streaming.

Despite Bilibili's stock dropping 43% in 2023, Fang finds the valuation compelling, noting it trades at a similar EBITDA multiple to peers but with a 50% faster estimated revenue growth rate from 2023 to 2026.