Tencent Music Entertainment Group (NYSE:TME) reported better-than-expected fourth-quarter revenue on Tuesday.
Tencent Music Entertainment reported a fourth-quarter revenue decline of 7.2% year-over-year to $971 million (CNY6.89 billion), beating the consensus of $932 million. China’s leading online music and audio entertainment platform’s adjusted EPADS of $0.14 (CNY1.00) was in line with the consensus, according to data from Benzinga Pro.
The Monthly active users (MAUs) for online music declined by 4.2% Y/Y to 576 million. Mobile MAUs for social entertainment decreased by 28.8% Y/Y to 104 million. Monthly ARPPU for online music grew by 20.2% Y/Y to CNY10.7,
Monthly ARPPU for social entertainment declined by 54.0% Y/Y to CNY78.0, and Online music paying users increased by 20.6% Y/Y to 106.7 million.
Tencent Music shares gained 6.4% to close at $11.04 on Tuesday.
These analysts made changes to their price targets on Tencent Music following earnings announcement.
- Citigroup raised the price target on Tencent Music Entertainment from $9 to $13. Citigroup analyst Alicia Yap upgraded the stock from Neutral to Buy.
- B of A Securities boosted the price target on Tencent Music Entertainment from $10.5 to $12.3. B of A Securities analyst Lei Zhang maintained a Buy rating.
- Mizuho increased the price target on Tencent Music Entertainment from $12 to $13. Mizuho analyst Wei Fang maintained a Buy rating.
- HSBC boosted the price target on Tencent Music Entertainment from $9.5 to $10.4. HSBC analyst Charlene Liu maintained a Hold rating.
- Benchmark increased the price target on Tencent Music Entertainment from $9 to $14. Benchmark analyst Fawne Jiang maintained a Buy rating.
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