(Reuters) – J.P. Morgan analysts uprated the shares of Chinese internet companies Monday. They expect “significant uncertainties” to ease.

China indicated an easing in its crackdown last month on once-freewheeling technology sector as President Xi Jinping seeks economic growth in light of COVID-19 lockdowns that are limiting the country’s potential for growth.

Brokerage raised the price and rating targets for stocks like Alibaba (NYSE:) Group, Baidu (NASDAQ:), Pinduoduo (NASDAQ) Inc and Bilibili

Alex Yao from J.P. Morgan said that “We expect early cycle sectors like digital entertainment, local services, and ecommerce to be outperformers.”

In March, 28 Chinese stocks were downgraded by the brokerage to “neutral” or “underweight” due to rising uncertainties and risks from de-listing.

Chinese firms have faced supply chain bottlenecks as a result of the pandemic. In some cities strict lockdowns were also in place. China, the second-largest economy worldwide, has a “zero COVID” policy.