Tencent (OTC:TCTZF – Get Rating) is one of 100 publicly-traded companies in the “Internet Content & Information” industry, but how does it contrast to its peers? We will compare Tencent to similar businesses based on the strength of its valuation, analyst recommendations, institutional ownership, profitability, earnings, risk and dividends.
Analyst Recommendations
This is a summary of recent recommendations and price targets for Tencent and its peers, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Tencent | 0 | 0 | 0 | 0 | N/A |
| Tencent Competitors | 330 | 1053 | 1605 | 31 | 2.44 |
As a group, “Internet Content & Information” companies have a potential upside of 76.71%. Given Tencent’s peers higher probable upside, analysts plainly believe Tencent has less favorable growth aspects than its peers.
Profitability
| Net Margins | Return on Equity | Return on Assets | |
| Tencent | N/A | N/A | N/A |
| Tencent Competitors | -15.98% | -12.43% | -1.50% |
Valuation & Earnings
This table compares Tencent and its peers top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Net Income | Price/Earnings Ratio | |
| Tencent | N/A | N/A | 18.38 |
| Tencent Competitors | $359.21 million | $53.83 million | -180.38 |
Tencent’s peers have higher revenue and earnings than Tencent. Tencent is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.
Institutional and Insider Ownership
18.3% of Tencent shares are held by institutional investors. Comparatively, 25.3% of shares of all “Internet Content & Information” companies are held by institutional investors. 33.6% of shares of all “Internet Content & Information” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.
Tencent Company Profile
Tencent Holdings Limited, an investment holding company, offers value-added services (VAS), online advertising, fintech, and business services in the People's Republic of China and internationally. It operates through VAS, Online Advertising, FinTech and Business Services, and Others segments. The company's consumers business provides communication and services, such as instant messaging and social network; digital content including online games, videos, live streaming, news, music, and literature; fintech services, which includes mobile payment, wealth management, loans, and securities trading; and various tools, such as network security management, browser, navigation, application management, email, etc. Its enterprise business comprises marketing solutions, which offers digital tools including user insight, creative management, placement strategy, digital assets management, etc.; and cloud services, such as cloud computing, big data analytics, artificial intelligence, Internet of Things, security and other technologies for financial services, education, healthcare, retail, industry, transport, energy, and radio & television application. In addition, the company operates innovation business, which includes artificial intelligences; and discover and develops enterprise and next-generation technologies for food production, energy, and water management application. Tencent Holdings Limited was formerly known as Tencent (BVI) Limited and changed its name to Tencent Holding Limited in February 2004. The company was founded in 1998 and is headquartered in Shenzhen, the People's Republic of China.
Receive News & Ratings for Tencent Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Tencent and related companies with MarketBeat.com's FREE daily email newsletter.
