Morningstar - Tencent Holdings Ltd. (00700) Tencent Delivered Strong Growth in Each Key Business Line; Increase FVE to HKD 344 (USD 44)

Report

Morningstar

Marie Sun

EUR 101.80 For Business Accounts Only

Tencent Delivered Strong Growth in Each Key Business Line; Increase FVE to HKD 344 (USD 44)

Tencent delivered another strong result in the second quarter, which reinforced our view of the company as one of the long-term winners in the China Internet space with a wide moat.Â
We are increasing our fair value estimate to HKD 344 (USD 44) from the current HKD 311 (USD 40) given that the revenue growth of online games and online advertising was ahead of our estimates and the selling and marketing expenses were lower than our estimates. The top-line growth was 59% year over year, driven by t...

17/08/2017 16 EN

Underlying

Tencent Holdings Ltd.

Tencent Holdings Limited is an investment holding company principally involved in the provision of value-added services (VAS) and online advertising services. The Company operates through three main segments. The VAS segment is mainly involved in provision of online/mobile games, community value-added services and applications across various Internet and mobile platforms. The Online Advertising segment is mainly engaged in display based and performance based advertisements. The Others segment is mainly involved in provision of payment related services, cloud services and other services.

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KYG875721634 Hong Kong Stock Exchange Cayman Islands

Provider

Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

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Analysts

Marie Sun

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Tencent Delivered Strong Growth in Each Key Business Line; Increase FVE to HKD 344 (USD 44)

PSA Media & Entertainment: Tokyo Game Show Line-Up

CoreWeave profitability; DeepSeek’s ASIC try; Semicap; PC pull-forward and more.

Tencent 2Q25 Results: Rev Growth Momentum to Continue in 3Q

Business as Usual for No-Moat Lonza; Specialty Ingredients Carve-Out on Track for 2020

Sasol Provides Full-Year Production Update

Astra Posts Solid 2Q, Driven by Strong Cancer Drug Sales and Moving Away From One-Time Divestments

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