Is Tencent stock really worth just $29 a share?
Nevertheless, the bank believes that the stock's "rich valuation" already factors in this growth. Valuing Tencent at just $29 a share, it sees much less value in the stock than does HSBC. I kind of agree with China Renaissance on this one.
Should you buy or sell Tencent stock on the dip?
There are no signs of government pressure easing anytime soon. Tencent 's ( OTC:TCEHY) stock has declined about 40% over the past six months. A barrage of negative headlines may have left some investors wondering if they should abandon the stock -- or, on the flip side, buy it on the dip.
Is Tencent Music stock overvalued at 68 times earnings?
With $636 million in trailing earnings, Tencent Music now trades for a steep 68-times-earnings valuation. Granted, free cash flow is probably better than that, Tencent being a high-margin, asset-lite business that generated $748 million in operating cash flow last year, and generally spending less than $20 million a year in capital expenditures.
Is Tencent’s free cash flow better than it should be?
Granted, free cash flow is probably better than that, Tencent being a high-margin, asset-lite business that generated $748 million in operating cash flow last year, and generally spending less than $20 million a year in capital expenditures.
Will Tencent stock go back up?
Tencent's fourth quarter felt the full sting of regulations implemented over the summer. However, assuming those mark a one-time "reset," Tencent should begin growing strongly again in the second half of 2022, making its stock a bargain today.
Is Tencent losing money?
Chinese technology giants Tencent Holdings Ltd. and Alibaba Group Holding Ltd. have lost more than $1 trillion in combined market value since the selloff in Hong Kong stocks began 13 months ago.
Is TCEHY stock a good buy?
Tencent's quant rating and analyst recommendations According to Seeking Alpha's quant rating, TCEHY is currently a 'hold' with a score of 2.87.
Is Tencent Holdings undervalued?
NetEase (NTES): Online gaming group is well-positioned to maintain high revenues and margins. Tencent Holdings (TCEHY): Revenue from the fintech and business services segment increased 25% to $7.5 billion....3 Undervalued Chinese Stocks Worth Considering.TickerCompanyCurrent PriceTCEHYTencent Holdings Limited$42.662 more rows•Apr 25, 2022
Does Tencent own part of Tesla?
O: Tencent bought 5% of the electric vehicle maker for $1.78 billion in 2017. Tesla Chief Executive Elon Musk has called Tencent "an investor and adviser to Tesla". *Riot Games: Tencent bought a majority stake in the Los Angeles-based “League of Legends” game developer in 2011 and made it fully owned in 2015.
How high can Tencent stock go?
The 51 analysts offering 12-month price forecasts for Tencent Holdings Ltd have a median target of 63.91, with a high estimate of 85.00 and a low estimate of 33.87. The median estimate represents a +52.83% increase from the last price of 41.82.
Is Tencent a Buy Sell or Hold?
Tencent has received a consensus rating of Hold. The company's average rating score is 2.44, and is based on 3 buy ratings, 4 hold ratings, and 1 sell rating.
Who bought Tencent stock?
Why They're Now Positive on Chinese Tech Stocks. Tencent Holdings and Alibaba Group saw their stock jump Tuesday after catching an upgrade by J.
Does Tencent stock pay dividends?
When does Tencent pay dividends? Tencent pays a dividend 1 times a year. The payment month is June. The dividend calendar shows you for more than 1,000 dividend stocks in which month which company distributes its dividends.
Is Tencent blue chip?
Blue Chip Stock Tencent HKG:0700 The world famous Blue Chip company Tencent 0700.HK made is to The Directory in 2020. Yield is not too high and for Dividend Growth investors this stock might be overprised.
Is Tencent at risk of delisting?
Vnet, Tencent, JD.com and other Chinese tech firms at risk of US delisting, SEC warns. More than 80 Chinese companies are at risk of being delisted from US stock exchanges, the Securities and Exchange Commission (SEC) has said.
Was Tencent delisted?
Parent company Tencent, one of China's largest tech conglomerates, spun off TME on the New York Stock Exchange in December 2018.
What happened
Shares of Tencent Music Entertainment ( TME -5.68% ), the self-proclaimed "leading online music entertainment platform in China," are down 3.5% in 1:55 p.m. EDT trading Monday.
So what
China has been waging a full-scale regulatory war against its own Chinese tech companies over the past several weeks. In this latest broadside, SAMR said that after investigating Tencent's activities in online music broadcasting, it has concluded that Tencent has engaged in unfair market practices against smaller rivals.
Now what
SAMR's action amounts to a government expropriation of intellectual property from the streaming giant and diminishes the value of the stock by taking away some of its assets. Viewed in that light, investors' decision to bid the stock down today makes perfect sense.
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What happened
Tencent Holdings ( TCEHY -0.92% ) fell 7.5% Wednesday after its largest shareholder announced plans to sell as much as $15 billion worth of its stock.
So what
Prosus ( PROSY -5.60% ) said it will sell up to 191.89 million Tencent shares, or roughly 2% of the Chinese tech titan's total share count. The sale will take Prosus's massive stake in Tencent down from 30.9% to 28.9%.
Now what
Prosus's parent company, Naspers ( NPSNY -2.58% ) , made one of the most lucrative investments in corporate history. In 2001, it purchased a roughly 33% stake in Tencent for $32 million.
What is a tcehy?
It is easy to see why. TCEHY is a tech conglomerate with market-leading positions in video gaming, social networks, video streaming, fintech, cloud , and more.
Why are value added services dragged on?
Value added services dragged on overall results, perhaps due to the rising regulation in the video game industry.
Is Tencent a Facebook company?
Tencent is the "Facebook of China ," one of the "PayPals of China," and the "Video Game King of the World."
Is Tencent a good stock?
Tencent ( OTCPK:TCEHY ), one of the highest quality stocks available in the Chinese market, has seen its stock crushed in spite of not being in the direct crosshairs of the regulatory overhaul that has caused the Chinese bear market. Even amidst the chaos, the company has generated strong growth and profitability while maintaining a solid financial position. The stock appears to have around 100% upside even to conservative multiples, and I explain what investors should wait for before buying into the stock.
What companies does Tencent own?
Last September, the Committee on Foreign Investment in the United States (CFIUS) started probing Tencent's investments in American gaming companies -- including all of Riot Games, a 40% stake in Epic Games, and 5% of Activision Blizzard -- over national security concerns.
Why did Tencent suspend WeChat?
In late July, Tencent abruptly suspended new user registrations for WeChat, the most popular mobile messaging and Mini Programs platform in China, "to align with relevant laws and regulations."
Is Tencent still in talks with CFIUS?
In May, Reuters claimed Tencent was still in talks with CFIUS to retain those investments. That uncertainty is troubling, since divesting those stakes would cut off Tencent's access to Riot's League of Legends, Epic's Fortnite, and Activision's Call of Duty Mobile, which are all core growth engines of its gaming business.
Does Tencent Music charge inflated fees?
Tencent Music previously agreed to sub-license its exclusive songs to its competitors, but it was accused of charging inflated fees. That big setback could give smaller rivals like NetEase Cloud Music a chance to finally catch up.
Is Tencent a duopoly?
Tencent's WeChat Pay holds a near-duopoly in China's online payments market with Ant Group's Alipay. However, the Chinese government wants to regulate both platforms more tightly as financial institutions -- which could cripple their ability to disrupt traditional state-run banks.
Is Tencent delisting stock?
The U.S. also recently passed a law that could delist shares of all Chinese companies -- including over-the-counter stocks like Tencent -- that don't comply with new auditing standards within the next three years. That countdown is likely keeping long-term investors away from most Chinese stocks.
Is Tencent a Huya?
Last October, Tencent announced it would merge Huya ( NYSE:HUYA) and DouYu ( NASDAQ:DOYU), China's two largest video game streaming platforms, to create a new platform with nearly 300 million monthly active mobile users.
Why is Tencent under pressure?
Tencent has already been under pressure alongside big technology peers because of the increased regulatory action on online platforms. Last month, it was barred from exclusive music copyright agreements and fined for unfair market practices.
Does Tencent respond to Reuters?
Tencent did not respond to the Reuters news agency’s request for comment.
Business is booming -- but the stock price already reflects that
I like things that go "boom." Sonic or otherwise, that means I tend to gravitate towards defense and aerospace stocks. But to tell the truth, over the course of a dozen years writing for The Motley Fool, I have covered -- and continue to cover -- everything from retailers to consumer goods stocks, and from tech to banks to insurers as well.
What happened
Shares of Chinese music streaming service Tencent Music Entertainment Group ( NYSE:TME) got caught in a landslide this morning, tumbling as much as 21% in early trading, and still down about 19% as of 12:45 p.m. EDT.
So what
After all, Tencent Music is now China's top streaming music company, as my colleague Leo Sun pointed out last week. It reported decent numbers in its most recent financial report, meeting analyst expectations for both sales ($1.28 billion) and earnings ($0.12 per share).
Now what
I kind of agree with China Renaissance on this one. With $636 million in trailing earnings, Tencent Music now trades for a steep 68-times-earnings valuation.
Tensions between the U.S. and China are rising
Joe honed his investing skills as an analyst for Stock Advisor. He battle-tested his investment philosophy and strategies as portfolio manager of Tier 1, a market-crushing Motley Fool real-money portfolio that delivered 24.58% annualized returns.
What happened
Shares of Tencent ( OTC:TCEHY), Alibaba ( NYSE:BABA), and JD.com ( NASDAQ:JD) fell 7.4%, 5.1%, and 4.3%, respectively, on Friday after the U.S. government took several actions against Chinese companies.
So what
President Trump placed bans on popular Chinese-owned social media platforms TikTok and Tencent-owned WeChat that go into effect in roughly six weeks. The move threatens to sever ties for people who reside in the U.S. and use the apps to communicate with friends, family, and business colleagues in China.
Now what
A significant portion of Alibaba's business is derived from U.S. e-commerce companies, which purchase goods from Chinese manufacturers and resell them in the U.S. and internationally. JD.com has also taken steps to expand its partnerships with U.S. businesses in recent years, which could now come under increased scrutiny from government officials.
