Financials Tencent Holdings Limited OTC Markets

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US88032Q1094

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Market Closed - OTC Markets Other stock markets 01:29:59 29/05/2024 am IST			5-day change	1st Jan Change
48.33 ^USD	-0.27%		-1.73%	+27.89%

23/05	Lilium Launching Offering of Shares, Warrants	MT
23/05	NetEase's First-Quarter Profit Rose on Game Revenue Strength -- Update	DJ

Valuation

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Capitalization ¹	31,87,363	45,20,554	35,50,845	27,75,430	24,95,851	32,66,781	-	-
Enterprise Value (EV) ¹	31,71,811	45,31,617	35,30,602	27,60,598	25,50,591	31,15,704	30,05,150	28,23,707
P/E ratio	34.8 x	28.7 x	16.1 x	15.3 x	22.4 x	20.1 x	17.6 x	15.3 x
Yield	0.32%	0.28%	0.35%	0.81%	1.17%	1.06%	1.23%	1.44%
Capitalization / Revenue	8.45 x	9.38 x	6.34 x	5 x	4.1 x	4.91 x	4.46 x	4.09 x
EV / Revenue	8.41 x	9.4 x	6.3 x	4.98 x	4.19 x	4.68 x	4.11 x	3.54 x
EV / EBITDA	23.1 x	26.6 x	20.4 x	16.8 x	10.8 x	11.9 x	10.5 x	8.95 x
EV / FCF	27.3 x	28.3 x	24.9 x	21.6 x	12.9 x	17.4 x	13.5 x	12 x
FCF Yield	3.66%	3.53%	4.02%	4.64%	7.77%	5.76%	7.41%	8.32%
Price to Book	7.45 x	6.4 x	4.4 x	3.9 x	3.12 x	3.46 x	2.92 x	2.59 x
Nbr of stocks (in thousands)	94,95,729	95,23,125	95,40,009	94,08,797	93,52,822	92,62,689	-	-
Reference price ²	335.7	474.7	372.2	295.0	266.9	352.7	352.7	352.7
Announcement Date	18/03/20	24/03/21	23/03/22	22/03/23	20/03/24	-	-	-

¹CNY in Million²CNY

Estimates

Income Statement Evolution (Annual data)

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Net sales ¹	3,77,289	4,82,064	5,60,118	5,54,552	6,09,015	6,65,656	7,31,806	7,97,862
EBITDA ¹	1,37,268	1,70,680	1,73,173	1,64,037	2,35,454	2,61,198	2,85,546	3,15,325
EBIT ¹	1,18,694	1,84,237	2,71,620	2,35,706	1,60,074	2,11,955	2,39,209	2,66,139
Operating Margin	31.46%	38.22%	48.49%	42.5%	26.28%	31.84%	32.69%	33.36%
Earnings before Tax (EBT) ¹	1,09,400	1,80,022	2,48,062	2,10,225	1,61,324	2,15,966	2,43,413	2,77,644
Net income ¹	93,310	1,59,847	2,24,822	1,88,243	1,15,216	1,63,931	1,86,985	2,13,327
Net margin	24.73%	33.16%	40.14%	33.95%	18.92%	24.63%	25.55%	26.74%
EPS ²	9.643	16.52	23.16	19.34	11.89	17.56	20.00	23.12
Free Cash Flow ¹	1,16,221	1,60,159	1,41,794	1,28,077	1,98,069	1,79,388	2,22,542	2,35,040
FCF margin	30.8%	33.22%	25.32%	23.1%	32.52%	26.95%	30.41%	29.46%
FCF Conversion (EBITDA)	84.67%	93.84%	81.88%	78.08%	84.12%	68.68%	77.94%	74.54%
FCF Conversion (Net income)	124.55%	100.2%	63.07%	68.04%	171.91%	109.43%	119.02%	110.18%
Dividend per Share ²	1.089	1.344	1.298	2.400	3.129	3.738	4.333	5.093
Announcement Date	18/03/20	24/03/21	23/03/22	22/03/23	20/03/24	-	-	-

¹CNY in Million²CNY

Estimates

Income Statement Evolution (Quarterly data)

Fiscal Period: December	2021 Q4	2022 Q1	2022 Q2	2022 Q3	2022 Q4	2023 Q1	2023 Q2	2023 Q3	2023 Q4	2024 Q1	2024 Q2	2024 Q3	2024 Q4	2025 Q1	2025 Q2
Net sales ¹	1,44,188	1,35,471	1,34,034	1,40,093	1,44,954	1,49,986	1,49,208	1,54,625	1,55,196	1,59,501	1,61,403	1,68,659	1,70,740	1,71,350	-
EBITDA ¹	36,568	38,283	38,628	43,124	44,002	52,656	56,848	61,301	59,494	69,259	60,546	63,587	63,140	55,327	-
EBIT ¹	1,09,723	37,217	30,067	51,593	1,16,829	40,429	40,300	48,475	41,401	58,619	53,520	57,392	57,172	56,576	-
Operating Margin	76.1%	27.47%	22.43%	36.83%	80.6%	26.96%	27.01%	31.35%	26.68%	36.75%	33.16%	34.03%	33.48%	33.02%	-
Earnings before Tax (EBT) ¹	99,593	29,002	23,798	45,946	1,11,479	37,859	38,168	47,789	37,508	56,820	55,899	59,238	59,954	54,148	-
Net income ¹	94,958	23,413	18,619	39,943	1,06,268	25,838	26,171	36,182	27,025	41,889	42,101	45,283	46,107	-	-
Net margin	65.86%	17.28%	13.89%	28.51%	73.31%	17.23%	17.54%	23.4%	17.41%	26.26%	26.08%	26.85%	27%	-	-
EPS ²	9.788	2.404	1.915	4.104	10.98	2.639	2.695	3.752	2.807	4.386	4.386	4.740	4.664	-	-
Dividend per Share ²	1.600	-	-	-	2.400	-	-	-	3.129	-	-	-	3.910	-	-
Announcement Date	23/03/22	18/05/22	17/08/22	16/11/22	22/03/23	17/05/23	16/08/23	15/11/23	20/03/24	14/05/24	-	-	-	-	-

¹CNY in Million²CNY

Estimates

Balance Sheet Analysis

Fiscal Period: December	2019	2020	2021	2022	2023	2024	2025	2026
Net Debt ¹	-	11,063	-	-	54,740	-	-	-
Net Cash position ¹	15,552	-	20,243	14,832	-	1,51,077	2,61,631	4,43,074
Leverage (Debt/EBITDA)	-	0.0648 x	-	-	0.2325 x	-	-	-
Free Cash Flow ¹	1,16,221	1,60,159	1,41,794	1,28,077	1,98,069	1,79,388	2,22,542	2,35,040
ROE (net income / shareholders' equity)	24.7%	28.1%	29.8%	24.6%	15.1%	19.9%	19.2%	19.4%
ROA (Net income/ Total Assets)	11.1%	14%	15.3%	11.8%	7.3%	10.7%	10.8%	11.2%
Assets ¹	8,38,757	11,43,725	14,72,890	15,95,253	15,77,696	15,39,148	17,36,709	18,99,478
Book Value Per Share ²	45.10	74.20	84.60	75.70	85.50	102.0	121.0	136.0
Cash Flow per Share ²	15.50	20.10	18.10	15.10	23.10	23.80	26.70	31.00
Capex ¹	32,369	33,960	33,392	18,014	23,893	35,589	40,417	38,646
Capex / Sales	8.58%	7.04%	5.96%	3.25%	3.92%	5.35%	5.52%	4.84%
Announcement Date	18/03/20	24/03/21	23/03/22	22/03/23	20/03/24	-	-	-

¹CNY in Million²CNY

Estimates

EPS & Dividend

Year-on-year evolution of the PER

Year-on-year evolution of the Yield

Change in Enterprise Value/EBITDA

Ratings for Tencent Holdings Limited

Trading Rating

Investor Rating

ESG Refinitiv

More Ratings

Analysts' Consensus

Sell

Buy

Mean consensus

BUY

Number of Analysts

Last Close Price

352.7 CNY

Average target price

421.6 CNY

Spread / Average Target

+19.55%

Consensus

EPS Revisions

Estimates Revisions

Quarterly earnings - Rate of surprise

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