Tencent 0700 02 (Jan 15 - Aug 18)

[winston]

not vested

CICC expects TENCENT 1Q adjusted net profit to rise 40%; target at $180

CICC released a research report last Friday, in which the broker reiterated the Recommend rating on TENCENT (00700.HK) +4.600 (+2.987%) Short selling $498.58M; Ratio 15.099% with target price set at $180.

CICC expected the company's first-quarter revenue to grow 21.6% year-on-year to RMB22.4 billion, 1% higher than the market consensus of RMB22.2 billion.

The adjusted net profit is estimated to rise 40.2% yearly to RMB7.3 billion, 3.1% higher than the market consensus of RMB7.1 billion.

Source: AAStocks Financial News

[winston]

Brokers' ratings & TPs for TENCENT (00700.HK) (Table)

TENCENT (00700.HK) 0.000 (0.000%) Short selling $768.31M; Ratio 22.038% is scheduled to announced its first quarter tomorrow (13 May).

Based on five brokers forecast, the non-GAAP net profit will range from RMB6.62 billion to RMB7.5 billion, up 27% to 44% against the year-ago period.

11 brokers' investment ratings and target prices for TENCENT are listed as follows:

Broker/ Investment rating / Target price (HK$)
Citigroup / Buy / 210
Barclays / Overweight / 196
BNP Paribas / Buy / 190
Credit Suisse / Outperform / 190
JP Morgan / Overweight / 185
Bank of America Merrill Lynch / Buy / 183
DBS Vickers / Buy / 182
CICC / Buy / 180
Morgan Stanley / Overweight / 168
Deutsche / Buy / 160
Daiwa / Buy / 160


Source: AAStocks Financial News

[winston]

Brokers' ratings & TPs for TENCENT (00700.HK) (Table)

TENCENT (00700.HK) 0.000 (0.000%) Short selling $768.31M; Ratio 22.038% is scheduled to announced its first quarter tomorrow (13 May).

Based on five brokers forecast, the non-GAAP net profit will range from RMB6.62 billion to RMB7.5 billion, up 27% to 44% against the year-ago period.

11 brokers' investment ratings and target prices for TENCENT are listed as follows:

Broker/ Investment rating / Target price (HK$)
Citigroup / Buy / 210
Barclays / Overweight / 196
BNP Paribas / Buy / 190
Credit Suisse / Outperform / 190
JP Morgan / Overweight / 185
Bank of America Merrill Lynch / Buy / 183
DBS Vickers / Buy / 182
CICC / Buy / 180
Morgan Stanley / Overweight / 168
Deutsche / Buy / 160
Daiwa / Buy / 160


Source: AAStocks Financial News

[winston]

not vested

TENCENT(00700.HK) 1Q earns RMB6.883B, up 6.6% YoY

TENCENT(00700.HK) -0.200 (-0.127%) Short selling $590.24M; Ratio 19.238% announced its first quarter results ended 31 March 2015.

The net profit gained 6.6% year-on-year and 17.5% quarter-on-quarter to RMB6.883 billion, slightly beating the estimates of RMB6.74 billion.

The basic earnings per share equaled RMB0.741. The non-GAAP net profit amounted to RMB7.053 billion, up 36% yearly and 5% quarterly.

During the period, TENCENT recorded a revenue of RMB22.399 billion, up 21.7% year-on-year and up 7% quarter-on-quarter. If excluding the e-commerce transaction business, the revenue gained 40% and 8% respectively.

TENCENT's adjusted EBITDA in the first quarter equaled RMB10.506 billion, up 47.5% yearly and up 24.7% quarterly.

The adjusted EBITDA margin rose to 47%.

Source: AAStocks Financial New

[winston]

not vested

Ads push clicks

Tencent Holdings (0700), China's biggest social network and online entertainment firm, has posted higher-than-tipped first- quarter revenue. That came with a drive to sell more ads on its social networks and entertainment services began to pay off.

Revenue for the quarter ending March 31 rose 21.7 percent from 12 months back to 22.4 billion yuan (HK$27.9 billion) the slowest growth in eight years but above analysts' forecasts.

Online ad revenues leaped 131 percent from the previous year to 2.72 billion yuan.

Tencent said global monthly active users of WeChat rose to 549 million from 500 million in the previous quarter as the social network reinforced its dominance despite slowing smartphone sales.

Net income also climbed a higher-than-expected 6.6 percent to 6.9 billion yuan.

Chairman Pony Ma Huateng has since December reduced his stake in Tencent while INVESTING in Ping An Insurance (Group) (2318), China Taiping Insurance (0966) and Fosun International (0656).

Ma said yesterday they are all personal INVESTMENTS and separate from Tencent's businesses.

Source: REUTERS

[winston]

not vested

WeChat is Tencent's ace in China's online entertainment race

http://www.reuters.com/article/2015/05/ ... nologyNews

[winston]

not vested

Tencent eyes investing more to build WeChat mobile payment service

Tencent Holdings Ltd, China's biggest social network and online entertainment firm, said on Wednesday it might invest more to build up its WeChat messaging app mobile payment service should the opportunity arise.

In the first quarter there was a drop off in funding of subsidies to promote taxi calling apps, which used WeChat Payment to settle bills and so encouraged new users to sign up to the service, Tencent executives said on a conference call after the company posted its first quarter earnings results.

This led to a drop in sales and marketing expenses in the three months ended March versus the previous year, the company said.

Tencent first-quarter revenues were higher than analysts had forecast, as a drive to sell more advertising on its social networks and entertainment services began to pay off.

Source: Reuters

[sschong92]

not vested

Why Tencent May Be China's Best Internet Company

Tencent Holdings (OTCPK:TCEHY) received a price target increase by Pacific Crest Securities, which called it the best positioned Chinese Internet company.

Tencent reported better-than-expected first-quarter earnings Wednesday morning, with online advertising revenue more than doubling.

"We see an inflection in the advertising segment and view it as a significant, multiyear revenue driver for Tencent," wrote Pacific Crest analyst Cheng Cheng. "We continue to see Tencent as a share gainer and the best competitively positioned company in the China Internet space."

Cheng raised his price target on Tencent to 187 Hong Kong dollars (24.13 in U.S. currency), from 172.

On the Hong Kong Stock Exchange, Tencent was trading near 161.30. On the U.S. over-the-counter market, Tencent was trading at 20.92, up a fraction. Following Wednesday's earnings report Tencent stock rose 4% to 20.90. The stock hit an all-time high of 22.15 on April 13.

In contrast to Pacific Crest's bullishness, analyst Henry Guo at Summit Research maintained a hold rating on Tencent with a price target of 165 in Hong Kong dollars. "We believe Tencent shares are reasonably valued," he wrote in a report.

Among analysts polled by Thomson Reuters, 16 have a strong buy on Tencent, 22 say buy and 3 say hold. There are no sell ratings.

Tencent is battling with Alibaba Group (NYSE:BABA) for the top spot in China's Internet space. Tencent dominates in online gaming and social networks. Alibaba dominates in e-commerce.

While not directly at odds in their core markets, Tencent and Alibaba are gradually moving into each other's arenas, mainly through acquisitions and joint ventures.

Tencent and Alibaba are also investing heavily to dig deeper into China's burgeoning mobile Internet market. Tencent has alliances with JD.com (NASDAQ:JD) and several other Chinese Internet companies as well as some U.S. investments.

JD and Tencent recently invested in BitAuto (NYSE:BITA), a Chinese auto information website. Tencent also owns a stake in 58.com (NYSE:WUBA), one of China's largest providers of online classified listings.

Tencent owns a portfolio of Internet services, including social networks, Web portals, online games and e-commerce sites.

On Wednesday, it reported Q1 revenue of $3.61 billion, up 22% in local currency and topping the consensus estimate. Online advertising revenue rose 131% to $438 million. Advertising accounted for 12% of Tencent's revenue, double that of a year earlier. The bulk of company revenue comes from online gaming.

JD.com reported Q1 earnings last Friday. Revenue of $5.9 billion rose 62% in local currency vs. a year earlier. Alibaba's Q1 results on May 7 also showed blistering top-line growth


Source: INVESTOR'S BUSINESS DAILY

[winston]

not vested

Tencent delivered a 1Q beat with revenues up 22% y/y to CNY 22.4m.

EPS of CNY 0.73 rose 6% y/y and was in line with the street.

Value added services (VAS) revenue growth, driven by PC and mobile games, was up 29%.

However, better total marginal sales growth was largely due to a CNY 2.7m contribution from mobile ads, which rose 131% y/y thanks to increased video views and strong performance from Mobile Qzone and Weixin.

Users of Tencent's WeChat text messaging service rose 10% to 549m.

Further ad revenue upside may be supported later this year by new O2O initiatives.

Aside from the solid growth prospects of its core games and ad revenues, a key attraction of Tencent is that many new initiatives have yet to be fully monetized, including internet finance, banking, payment systems (WeChat and QQ Wallet), O2O, and Weixin.

Source: UBS

[winston]

not vested

Tops for Tencent

Mainland internet giant Tencent saw its net profit surge by 25 percent in the second quarter, buoyed by growth in online advertising revenue and its popular messaging service WeChat, the company said yesterday.

Net profit for the three months to June 30 stood at 7.31 billion yuan (HK$8.88 billion), up 25 percent from 5.84 billion yuan in the same period last year, while revenue rose by 19 percent from 19.75 billion yuan to 23.43 billion yuan.

Analysts quoted by Bloomberg News had forecast revenue of 24 billion yuan, but earnings were seen as better than expected.

Shares in Tencent closed down 4.19 percent at HK$134.90 while the overall market was down 2.38 percent.

Tencent's half-yearly earnings measured from January to June grew 15 percent from a year earlier to 14.2 billion yuan, while revenue growth in the period was 20 percent.

Shenzhen-based Tencent operates the mainland's biggest messaging service WeChat.

This service now has 600 million active users monthly, contributing to an 18 percent growth in social network revenues that stood at 5.46 billion yuan in the second quarter.

Source: AGENCE FRANCE-PRESSE