Tencent Music Entertainment Group (NYSE:TME) Shares Down 4.7% – Here’s Why

Tencent Music Entertainment Group Sponsored ADR (NYSE:TME)’s stock price fell 4.7% during trading on Tuesday. The stock traded as low as $7.97 and last traded at $7.9750. Approximately 897,151 shares changed hands during trading, a decline of 90% from the average daily volume of 9,275,281 shares. The stock had previously closed at $8.37.

Analysts Set New Price Targets

TME has been the subject of several recent research reports. UBS Group set a $15.00 price target on shares of Tencent Music Entertainment Group in a research report on Wednesday, August 12th. Mizuho cut their price target on shares of Tencent Music Entertainment Group from $18.00 to $15.00 and set an “outperform” rating on the stock in a report on Wednesday, August 12th. Nomura set a $10.00 price objective on Tencent Music Entertainment Group and gave the company a “neutral” rating in a report on Thursday, August 13th. Weiss Ratings raised Tencent Music Entertainment Group from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, July 1st. Finally, China Renaissance lowered Tencent Music Entertainment Group from a “buy” rating to a “hold” rating and set a $9.30 price target on the stock. in a research report on Wednesday, August 12th. Three analysts have rated the stock with a Buy rating and ten have given a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $17.21.

Tencent Music Entertainment Group Stock Down 5.1%

The firm has a market cap of $12.50 billion, a price-to-earnings ratio of 9.82, a PEG ratio of 1.47 and a beta of 0.85. The firm has a 50 day moving average of $8.67 and a 200 day moving average of $9.14. The company has a quick ratio of 1.74, a current ratio of 1.74 and a debt-to-equity ratio of 0.13.

Tencent Music Entertainment Group (NYSE:TME) last issued its quarterly earnings results on Tuesday, June 30th. The company reported $0.25 earnings per share (EPS) for the quarter. The firm had revenue of $1.31 billion for the quarter. Tencent Music Entertainment Group had a return on equity of 11.53% and a net margin of 26.27%. As a group, sell-side analysts predict that Tencent Music Entertainment Group Sponsored ADR will post 0.87 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of TME. QRG Capital Management Inc. boosted its stake in Tencent Music Entertainment Group by 10.9% during the second quarter. QRG Capital Management Inc. now owns 12,809 shares of the company’s stock worth $107,000 after acquiring an additional 1,255 shares in the last quarter. Twin Peaks Capital Ltd raised its holdings in shares of Tencent Music Entertainment Group by 275.0% during the second quarter. Twin Peaks Capital Ltd now owns 300,000 shares of the company’s stock valued at $2,505,000 after purchasing an additional 220,000 shares during the period. Sequoia Financial Advisors LLC raised its holdings in shares of Tencent Music Entertainment Group by 230.7% during the second quarter. Sequoia Financial Advisors LLC now owns 71,852 shares of the company’s stock valued at $600,000 after purchasing an additional 50,124 shares during the period. National Pension Service boosted its position in shares of Tencent Music Entertainment Group by 10.2% during the 2nd quarter. National Pension Service now owns 167,366 shares of the company’s stock worth $1,398,000 after purchasing an additional 15,558 shares in the last quarter. Finally, NewEdge Advisors LLC boosted its position in shares of Tencent Music Entertainment Group by 80.1% during the 2nd quarter. NewEdge Advisors LLC now owns 120,498 shares of the company’s stock worth $1,006,000 after purchasing an additional 53,603 shares in the last quarter. Institutional investors and hedge funds own 24.32% of the company’s stock.

Tencent Music Entertainment Group Company Profile

Tencent Music Entertainment Group is a China-based online music and audio entertainment company. It operates digital music platforms including QQ Music, Kugou Music and Kuwo Music, which provide users with licensed songs, albums, music videos, playlists, podcasts and other audio content. The company also operates WeSing, a social karaoke service that allows users to sing, record and share performances.

The company generates revenue through music subscriptions, digital advertising, content sales, and social entertainment services such as virtual gifts, live streaming and karaoke-related offerings.