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

Tencent Music Entertainment Group (NYSE:TME) gapped down prior to trading on Tuesday . The stock had previously closed at $11.55, but opened at $10.78. Tencent Music Entertainment Group shares last traded at $10.76, with a volume of 2,601,658 shares trading hands.

Analysts Set New Price Targets

TME has been the topic of a number of analyst reports. Bank of America cut their price target on Tencent Music Entertainment Group from $18.00 to $15.00 and set a “buy” rating on the stock in a research note on Wednesday, August 14th. Barclays initiated coverage on Tencent Music Entertainment Group in a research note on Wednesday, November 6th. They issued an “overweight” rating and a $16.00 price target on the stock. Morgan Stanley cut Tencent Music Entertainment Group from an “overweight” rating to an “equal weight” rating and cut their price target for the company from $15.00 to $13.00 in a research note on Wednesday, September 25th. Daiwa America cut Tencent Music Entertainment Group from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, August 13th. Finally, Sanford C. Bernstein started coverage on Tencent Music Entertainment Group in a research report on Monday, November 4th. They set an “outperform” rating and a $14.00 target price on the stock. Four research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company’s stock. According to data from MarketBeat, Tencent Music Entertainment Group has an average rating of “Moderate Buy” and a consensus target price of $13.03.

Tencent Music Entertainment Group Stock Down 5.8 %

The stock has a market capitalization of $18.67 billion, a price-to-earnings ratio of 21.36, a PEG ratio of 0.84 and a beta of 0.67. The firm’s fifty day moving average is $11.41 and its 200-day moving average is $12.85. The company has a debt-to-equity ratio of 0.09, a current ratio of 2.34 and a quick ratio of 2.34.

Tencent Music Entertainment Group (NYSE:TME) last released its earnings results on Tuesday, August 13th. The company reported $0.15 earnings per share for the quarter, missing the consensus estimate of $0.16 by ($0.01). Tencent Music Entertainment Group had a net margin of 20.35% and a return on equity of 10.11%. The business had revenue of $985.00 million for the quarter, compared to the consensus estimate of $1 billion. On average, sell-side analysts predict that Tencent Music Entertainment Group will post 0.63 earnings per share for the current year.

Institutional Trading of Tencent Music Entertainment Group

Institutional investors have recently added to or reduced their stakes in the business. Ashton Thomas Private Wealth LLC bought a new position in shares of Tencent Music Entertainment Group during the second quarter worth about $37,000. Tobam grew its position in Tencent Music Entertainment Group by 37.7% in the 2nd quarter. Tobam now owns 3,498 shares of the company’s stock valued at $49,000 after buying an additional 957 shares in the last quarter. Avior Wealth Management LLC grew its position in Tencent Music Entertainment Group by 253.8% in the 3rd quarter. Avior Wealth Management LLC now owns 5,675 shares of the company’s stock valued at $68,000 after buying an additional 4,071 shares in the last quarter. iA Global Asset Management Inc. grew its position in Tencent Music Entertainment Group by 728.9% in the 1st quarter. iA Global Asset Management Inc. now owns 11,687 shares of the company’s stock valued at $131,000 after buying an additional 10,277 shares in the last quarter. Finally, Caprock Group LLC bought a new position in Tencent Music Entertainment Group in the 3rd quarter valued at about $147,000. Institutional investors own 24.32% of the company’s stock.

Tencent Music Entertainment Group Company Profile

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.