Tencent 0700 02 (Jan 15 - Aug 18)

[winston]

not vested

<Research Report>Daiwa Lifts TENCENT Target Price to $255; Expects WeChat's Mini Programs to be Catalyst

Daiwa, in its report, believed that 3Q revenue of TENCENT (00700.HK) was solid, reflecting robust growth in on-line games, advertisement, Could and payment business.

It is estimated that the company's upcoming launch of WeChat's Mini Programs could be a re-rating catalyst in the near term.

The rating was reiterated at Buy and the target price was revised up to $255 from $235, based on an unchanged 35x 2017 non-GAAP EPS forecast.

The stock was the top pick for the research house.

Source: AAStocks Financial News

[winston]

vested

<Post-Result>Brokers' Latest Ratings & TPs for TENCENT (Table)

TENCENT (00700.HK) announced its results for the third quarter ended 30 September 2016 yesterday (16 November).

Its net profit escalated 43% yearly to RMB10.646 billion, with 41.75% yearly rise in GAAP net profit to RMB11.737 billion.

Our website summarized the latest investment ratings and target prices of 14 brokers:

Broker/ Investment Rating/ Target Price (HK$)
JP Morgan/ Overweight/ 260->257
Daiwa/ Buy/ 235->255
Goldman Sachs/ Buy/ 256->252.3
BOC International/ Buy/261->252
UBS/ Buy/ 250
HSBC/ Buy/ 256->245
Deutsche Bank/ Buy/ 246->242
Macquarie/ Outperform/ 241->240
Bank of America Merrill Lynch/ Buy/ 238->233
Credit Suisse/ Outperform/ 232
Nomura/ Buy/ 235->230
Citigroup/ Buy/ 230
CICC/ Buy/ 230
Morgan Stanley/ Overweight/ 225

Source: AAStocks Financial News

[winston]

vested

Baidu, Alibaba and Tencent to expand their revenue from paid digital content and targeted ad campaigns

‘Traffic engagement paves the way for long-term growth opportunities in performance-based advertising,’ analyst says

Chinese internet titans Baidu, Alibaba Group and Tencent Holdings are expected to see paid digital content and targeted advertising become their next big growth engines over the next few years, according to industry analysts.

Those include paid subscription to digital entertainment like online video and music, as well as so-called performance-based advertising campaigns which are personalised and targeted at consumers.

Both Tencent and Nasdaq-listed Baidu, for example, each have more than 20 million paid subscribers on their video-streaming and other digital entertainment content services, Tsang said.

Alex Yao, head of JP Morgan’s internet and new media research, said performance-based advertising -- in which companies pay for audience results, such as cost per click -- will expand on the mainland.

Yao said that Tencent’s advertising model for WeChat Moments, a social newsfeed akin to Facebook’s Timeline, is currently “undermonetised”.

Very few advertisements are currently being pushed to consumers, as Tencent works to improve on its technology and distribution of advertisements, he said.

HSBC’s Tsang echoed Yao’s sentiments, noting that Tencent was “not yet getting more aggressive on ad loads because they’re still working on targeting, to understand their users better and increase the likelihood of people clicking their ads”.

Source: SCMP

http://www.scmp.com/business/article/20 ... ontent-and

[winston]

vested

Tencent’s Joox music streaming service proves a hit across Asia

The Chinese internet giant’s digital music app tops the charts in Hong Kong, Thailand, Malaysia and Indonesia with 50 million downloads, says McKinsey

The McKinsey study estimated that the region clocked up US$900 million in total digital music revenue last year, compared with US$3.3 billion in the United States.

Data from the GSMA, an industry association representing nearly 800 mobile network operators around the world, showed that 3G and 4G networks would account for 70 per cent of total mobile connections in the Asia-Pacific by 2020, up from 45 per cent last year.

It forecast the number of smartphone connections in the region to reach 3 billion by 2020, compared with 1.7 billion at the end of December.

Source: SCMP

http://www.scmp.com/tech/china-tech/art ... cross-asia

[winston]

vested

China's Tencent Posts Q3 Sales Beat; Smartphone Games, Olympics Help

Smartphone gaming revenue jumped 87%, the company said, specifically noting its "Honour of Kings" game.

Its smartphone games is now up to 40 million daily users, the company said.

Tencent has a strategic alliance with JD.com (JD), which is Alibaba's top China e-commerce rival. JD early Tuesday posted a Q3 beat.

Source: IBD



http://www.investors.com/news/technolog ... yptr=yahoo

[winston]

not vested

<Post-Result>Brokers' Latest Ratings & TPs for TENCENT (Table)

TENCENT (00700.HK) announced its results for the third quarter ended 30 September 2016 yesterday (16 November).

Its net profit escalated 43% yearly to RMB10.646 billion, with 41.75% yearly rise in GAAP net profit to RMB11.737 billion.

Our website summarized the latest investment ratings and target prices of 14 brokers:

Broker/ Investment Rating/ Target Price (HK$)
JP Morgan/ Overweight/ 260->257
Daiwa/ Buy/ 235->255
Goldman Sachs/ Buy/ 256->252.3
BOC International/ Buy/261->252
UBS/ Buy/ 250
HSBC/ Buy/ 256->245
Deutsche Bank/ Buy/ 246->242
Macquarie/ Outperform/ 241->240
Bank of America Merrill Lynch/ Buy/ 238->233
Credit Suisse/ Outperform/ 232
Nomura/ Buy/ 235->230
Citigroup/ Buy/ 230
CICC/ Buy/ 230
Morgan Stanley/ Overweight/ 225

Source: AAStocks Financial News

[winston]

not vested

Tencent Game Carnival 2016: A strong showcase of updates and pipelines

Tencent hosted its annual Tencent Game Carnival (TGC) in Chengdu from 9 to 11 December. E-Sports is the fifth vertical
under Interactive Entertainment Group (IEG), in parallel with Games, Literature, Pictures and Comic.

E-Sports has attracted 110 mn/170 mn fans on PC/mobile. Tencent E-Sports has produced over 1000 games livestreaming
star hosts, and has got more than 7.1 bn views in 2016.

Tencent has offered decent updates and pipelines on mobile titles for 2017, and unveiled its much anticipated next MOBA from Epic
Games, Paragon, a third-person shooter MOBA that runs on both PC and PS4 in its beta version, launched overseas.

Maintain OUTPERFORM rating and raise TP to HK$233 (from HK$232), implying 34x 17E dil. adj. P/E. We revise up our mobile
games 2017E growth to 40% YoY, slightly offset by increased video content spend to Rmb9 bn+ in 2017.

Our TP includes:
(1) internet finance valuation of HK$24.20/sh, and
(2) core business valuation of HK$208.8/sh, based on 30x 17E P/E, parallel with the global internet giants.

Source: CS

[winston]

not vested

<Research Report>Macquarie: TENCENT (00700.HK) Platform Has Rich Social Elements; Target at $240

Macquarie, in its report, said the monthly active users of TENCENT (00700.HK)'s QQ/Weixin are 647 million/846 million, and Tencent runs China's second-largest online payment platform, Tenpay, with 31% market share by transaction value in China in 1Q16.

As at the end of September 2016, it had over 300 million Weixin/QQ mobile payment accounts bound to bank cards.

Tencent has also grown into micro loans through WeBank.

Tencent is also expanding overseas, with a focus on Asia. The broker rated the stock at Outperform with target price of $240.

The broker said Tenpay facilitates money transfer between individuals and promotes exchange of the popular red envelopes, or Hongbao.

Since March, Tencent started to charge a 0.1% handling fee for withdrawals from bank accounts, lifting profitability of the payment business.

The broker expected payment/cloud revenue to grow 310% yearly to RMB16.7 billion in 2016 and segment GPM to improve to 16% in 2016 from 0%.

Source: AAStocks Financial News

[winston]

not vested

<Research Report>C Suisse Lifts TENCENT (00700.HK) Target to $233; Kept Outperform

Credit Suisse, in its report, said TENCENT (00700.HK) hosted its annual Tencent Game Carnival (TGC) in Chengdu from 9 to 11 December.

E-Sports has attracted 110 million/170 million fans on PC/mobile.

Tencent E-Sports has produced over 1000 games live streaming star hosts, and has got more than 7.1 billion views in 2016.

Credit Suisse said Tencent has offered updates on similar games, and announced that it will soon launch lots of multiplayer online battle arena (MOBA) games and launch them overseas too.

The broker kept the rating Outperform with target price lifted by $1 to $233.

Source: AAStocks Financial News

[winston]

not vested

<Research Report>BOCOM International: Tencent Weixin Continues to Open Platform via Mini Application; Target at $232

BOCOM International, in its report, said that TENCENT (00700.HK) continued to open its platform through mini applications and the new applications will be launched on 9 January.

If the new application can be used widely, it can enhance the activeness of Weixin.

The rating was maintained at Buy, with a target price of $232.

Source: AAStocks Financial News