Tencent Music Entertainment Group (NYSE:TME) Shares Gap Up – Should You Buy?

Tencent Music Entertainment Group (NYSE:TME)’s share price gapped up prior to trading on Wednesday . The stock had previously closed at $12.75, but opened at $13.91. Tencent Music Entertainment Group shares last traded at $13.80, with a volume of 3,345,765 shares.

Analyst Ratings Changes

Several equities analysts have recently issued reports on the company. Mizuho reduced their target price on Tencent Music Entertainment Group from $17.00 to $16.00 and set an “outperform” rating for the company in a report on Wednesday, August 14th. Benchmark reduced their target price on Tencent Music Entertainment Group from $19.00 to $15.00 and set a “buy” rating for the company in a report on Wednesday, August 14th. Morgan Stanley lowered Tencent Music Entertainment Group from an “overweight” rating to an “equal weight” rating and reduced their target price for the company from $15.00 to $13.00 in a report on Wednesday, September 25th. Daiwa Capital Markets lowered Tencent Music Entertainment Group from an “outperform” rating to a “neutral” rating in a report on Tuesday, August 13th. Finally, Bank of America reduced their target price on Tencent Music Entertainment Group from $18.00 to $15.00 and set a “buy” rating for the company in a report on Wednesday, August 14th. Four analysts have rated the stock with a hold rating and nine have given a buy rating to the company. According to MarketBeat, Tencent Music Entertainment Group presently has a consensus rating of “Moderate Buy” and a consensus target price of $12.67.

Tencent Music Entertainment Group Trading Down 1.6 %

The stock has a market cap of $23.18 billion, a PE ratio of 29.37, a P/E/G ratio of 0.89 and a beta of 0.65. The firm has a 50-day simple moving average of $11.36 and a 200-day simple moving average of $12.74. The company has a quick ratio of 2.34, a current ratio of 2.34 and a debt-to-equity ratio of 0.09.

Tencent Music Entertainment Group (NYSE:TME) last posted its earnings results on Tuesday, August 13th. The company reported $0.15 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.16 by ($0.01). The company had revenue of $985.00 million for the quarter, compared to analysts’ expectations of $1 billion. Tencent Music Entertainment Group had a return on equity of 10.11% and a net margin of 20.35%. Equities analysts forecast that Tencent Music Entertainment Group will post 0.62 earnings per share for the current year.

Institutional Investors Weigh In On Tencent Music Entertainment Group

Institutional investors and hedge funds have recently made changes to their positions in the business. Ashton Thomas Private Wealth LLC purchased a new stake in shares of Tencent Music Entertainment Group in the second quarter worth $37,000. Tobam raised its position in shares of Tencent Music Entertainment Group by 37.7% in the second quarter. Tobam now owns 3,498 shares of the company’s stock worth $49,000 after buying an additional 957 shares in the last quarter. SageView Advisory Group LLC purchased a new stake in shares of Tencent Music Entertainment Group in the fourth quarter worth $90,000. Parallel Advisors LLC raised its position in shares of Tencent Music Entertainment Group by 27.1% in the fourth quarter. Parallel Advisors LLC now owns 10,927 shares of the company’s stock worth $98,000 after buying an additional 2,328 shares in the last quarter. Finally, iA Global Asset Management Inc. raised its position in shares of Tencent Music Entertainment Group by 728.9% in the first quarter. iA Global Asset Management Inc. now owns 11,687 shares of the company’s stock worth $131,000 after buying an additional 10,277 shares in the last quarter. Hedge funds and other institutional investors own 24.32% of the company’s stock.

About Tencent Music Entertainment Group

Tencent Music Entertainment Group operates online music entertainment platforms to provide music streaming, online karaoke, and live streaming services in the People's Republic of China. It offers QQ Music, Kugou Music, and Kuwo Music that enable users to discover music in personalized ways; long-form audio content, including audiobooks, podcasts and talk shows, as well as music-oriented video content comprising music videos, live performances, and short videos; and WeSing, which enables users to sing along from its library of karaoke songs and share their performances in audio or video formats with friends.