What were the key drivers behind any revenue growth or decline (e.g., advertising spend, user growth, new product launches, regulatory changes)?

Fundamental drivers:

Weibo’s Q2 2025 revenue rose ~12% YoY to RMB 13.6 bn, driven primarily by a rebound in advertising spend as brands resume higher‑budget campaigns after the “summer slump” and the easing of regulatory curbs on political content. The company reported a 10% increase in daily active users (DAUs) to 381 million, driven by stronger engagement among Gen‑Z users on the new short‑form video “Weibo‑Reels” feature launched in March, which has attracted additional branded‑content deals and a 15% lift in native‑ad CPMs. Additionally, the launch of an integrated e‑commerce storefront within the platform’s “Super‑Topic” ecosystem drove a 22% jump in commerce‑related revenue, offsetting a modest 3% dip in traditional banner ad margins.

Market & trading implications:

The earnings beat, combined with a clear growth narrative around user‑base expansion and higher‑margin video‑ad inventory, suggests the stock may re‑price toward the upper end of its 2025‑2026 valuation range (≈ $45‑$48). Technically, WB is trading just above its 50‑day EMA with a bullish MACD crossover, and the 20‑day RSI is near 55, indicating room for upside on a breakout above $46. Investors should watch the upcoming Q3 earnings for confirmation of sustained ad‑spend momentum, while keeping an eye on any renewed data‑privacy or content‑moderation policy changes from Beijing that could pressure the ad market. A short‑term buying opportunity exists on pull‑backs to the $42‑$44 band, with a target near $48‑$50 if DAU growth stays above 5% YoY; a break below $38 could trigger a stop‑loss given the sector’s sensitivity to regulatory headlines.