Benzinga | Dec 2, 2021 11:04AM EST

UBS Sees 22% Upside In Autohome - Read Why

* UBS analyst Paul Gong initiated coverage of Autohome Inc (NYSE:ATHM) with a Neutral rating and a $38 price target, implying a 22.3% upside.

* The company was a success in online ads, and its management is rightly further exploring digital products opportunities. Still, the industry environment looks challenging.

* Carmakers are prioritizing R&D budgets over marketing as verticals lose audience to social networking and short videos, Gong adds.

* Price Action: ATHM shares traded higher by 2.67% at $31.89 in the market session on the last check Thursday.