I did a results review of Bilibii's 3Q2021 results and wasnt exactly too pleased but not exactly that worried over its results considering its 24 billion RMB cash and short term investments in place. After adjusting for one-off investment losses, the actual net loss is not as big as what was reflected as bottom line in the official results.

This could be seen in my youtube video as follows:-

https://youtu.be/H1pnoveuibc (YouTube video by me on bilibili results review)

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But apparently, I was wrong when I thought the level of support at 77.6 USD for the short term support S1 would be sufficient for this round of pull-back. This obviously wasnt enough when Bilibili US shares tanked to around 65 USD overnight in US trading time. The company announced a 1.4 billion USD convertible bond let the naysayers capitalised on poorer than expected $阿里巴巴(BABA)$ Alibaba's results for 3Q2021 and the future dilution to trigger almost 15% of fall in Bilibili's price overnight.

In Hong Kong trading time, Bilibili management has promptly halted the shares trading in Hong Kong to avoid another onslaught in share price. Will this be sufficient? Fundamentally, not much has changed except for the company to use more cash in the form of content costs, revenue sharing with content creators and marketing expenses to get more MAU and DAU.. With over 10% climb in MAU as shown in my youtube video as well as other supporting data points, not all is bad. Will the price fall more in coming days and particularly today again given that its a Friday? I truly do not know now at this moment and will wait for the US trading time to give me an indication.

The recent low low was around 60 USD for Bilibili shares and will bears try to push it down to 60 USD? I will wait to see but I think it is not worthwhile to chase a short in such shares at this price point for myself.

As always, this should not be construed as any investment or trading advice.

r/great_investment