Professional
Added to YB: 2024-09-19
Pitch date: 2024-09-10
TME [bullish]
Tencent Music Entertainment Group
+90.33%
current return
Author Info
No bio for this author
Company Info
Tencent Music Entertainment Group operates online music entertainment platforms that provides music streaming, online karaoke, and live streaming services in the People’s Republic of China.
Market Cap
$212.6B
Pitch Price
$9.57
Price Target
17.20 (-6%)
Dividend
0.95%
EV/EBITDA
15.39
P/E
19.37
EV/Sales
6.21
Sector
Entertainment
Category
growth
Tencent Music Entertainment Group: Management Lifts 2024 Outlook, Announces New Pricing Strategy
TME: Q2 earnings beat, but shares -15% on pricing strategy shift. FVE $17.20 unchanged. Rev -4% YoY, adj. profit +23%. Gross margin 42%, 9th quarter of improvement. Low sub/user ratio (20% vs Spotify's 40%) & price ($1.50 vs $5.20) signal growth potential. Duopoly market structure, pricing power, no YouTube competition support earnings growth outlook.