Mizuho Lowers Tencent Music Entertainment Group (NYSE:TME) Price Target to $15.00

Key Points

• Mizuho lowered Tencent Music’s price target to $15 from $18 while maintaining an “outperform” rating, implying approximately 78% upside from the cited $8.40 share price.
• Analyst sentiment remains mixed: the stock has a consensus “Hold” rating and an average price target of $18.80, with JPMorgan and China Renaissance taking more cautious positions.
• Tencent Music reported quarterly EPS of $0.25 on $1.31 billion in revenue, while institutional investors owned 24.32% of the company; shares traded near their 12-month low and below both their 50-day and 200-day moving averages.

Tencent Music Entertainment Group (NYSE:TME - Get Free Report) had its target price lowered by equities research analysts at Mizuho from $18.00 to $15.00 in a research report issued on Wednesday,Benzinga reports. The firm presently has an "outperform" rating on the stock. Mizuho's price target suggests a potential upside of 78.47% from the company's current price.

Several other equities analysts have also weighed in on TME. Zacks Research raised Tencent Music Entertainment Group from a "strong sell" rating to a "hold" rating in a report on Tuesday, May 19th. UBS Group set a $15.00 price target on Tencent Music Entertainment Group in a research note on Wednesday. JPMorgan Chase & Co. lowered their price objective on Tencent Music Entertainment Group from $12.00 to $10.00 and set a "neutral" rating on the stock in a research note on Thursday, May 14th. Weiss Ratings upgraded Tencent Music Entertainment Group from a "hold (c-)" rating to a "hold (c)" rating in a research note on Wednesday, July 1st. Finally, China Renaissance downgraded shares of Tencent Music Entertainment Group from a "buy" rating to a "hold" rating and set a $9.30 price objective on the stock. in a report on Wednesday. Four equities research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $18.80.

Tencent Music Entertainment Group Stock Performance

NYSE:TME traded down $0.32 during trading on Wednesday, reaching $8.40. The company's stock had a trading volume of 3,551,614 shares, compared to its average volume of 9,214,547. The firm has a market cap of $13.23 billion, a price-to-earnings ratio of 10.49, a price-to-earnings-growth ratio of 1.49 and a beta of 0.84. Tencent Music Entertainment Group has a 12 month low of $7.94 and a 12 month high of $26.70. The company has a debt-to-equity ratio of 0.06, a quick ratio of 2.08 and a current ratio of 2.09. The firm has a 50 day moving average of $8.98 and a 200-day moving average of $10.86.

Tencent Music Entertainment Group (NYSE:TME - Get Free Report) last announced its quarterly earnings data on Tuesday, June 30th. The company reported $0.25 EPS for the quarter. The business had revenue of $1.31 billion for the quarter. Tencent Music Entertainment Group had a net margin of 26.45% and a return on equity of 11.20%. Research analysts expect that Tencent Music Entertainment Group will post 0.89 EPS for the current fiscal 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. Schroder Investment Management Group increased its stake in Tencent Music Entertainment Group by 30.0% in the 4th quarter. Schroder Investment Management Group now owns 80,480,078 shares of the company's stock worth $1,410,816,000 after acquiring an additional 18,554,567 shares during the last quarter. Vanguard Group Inc. boosted its position in shares of Tencent Music Entertainment Group by 1.4% during the 4th quarter. Vanguard Group Inc. now owns 21,455,738 shares of the company's stock valued at $376,119,000 after acquiring an additional 293,385 shares during the last quarter. Krane Funds Advisors LLC boosted its position in shares of Tencent Music Entertainment Group by 5.4% during the 4th quarter. Krane Funds Advisors LLC now owns 20,047,192 shares of the company's stock valued at $351,427,000 after acquiring an additional 1,026,551 shares during the last quarter. Cantillon Capital Management LLC grew its holdings in shares of Tencent Music Entertainment Group by 1.4% during the fourth quarter. Cantillon Capital Management LLC now owns 18,708,502 shares of the company's stock worth $327,960,000 after purchasing an additional 256,286 shares in the last quarter. Finally, Overlook Investments LP purchased a new position in shares of Tencent Music Entertainment Group during the fourth quarter worth about $278,022,000. Hedge funds and other institutional investors own 24.32% of the company's stock.

Tencent Music Entertainment Group News Summary

Here are the key news stories impacting Tencent Music Entertainment Group this week:

• Positive Sentiment: Solid Q2 revenue and subscription momentum: TME reported second-quarter revenue of RMB8.93 billion ($1.32 billion), up 5.8% year over year. Growth was driven primarily by music-related services, including subscriptions, concert activity and the integration of Ximalaya. Tencent Music second-quarter 2026 financial results
• Positive Sentiment: Potential additional share buyback: Management signaled another round of repurchases while combining Ximalaya with TME’s music-plus-audio platform. Buybacks could support per-share earnings and signal confidence in the company’s valuation. TME signals another share buyback round
• Neutral Sentiment: Integration remains an execution focus: Ximalaya expands TME beyond music into broader audio entertainment, but investors will look for evidence that the acquisition produces meaningful synergies and sustained revenue growth.
• Negative Sentiment: Shares declined despite the earnings beat: Coverage indicated that the market reacted negatively to the results, likely reflecting concern that 5.8% revenue growth was modest relative to expectations or that future growth may not justify the stock’s prior valuation. Tencent Music shares slide after Q2 results
• Negative Sentiment: Analyst downgrade limits near-term optimism: China Renaissance lowered TME from “Buy” to “Hold” and set a $9.30 price target, implying only about 6.7% upside from the cited $8.71 level. The move may weigh on sentiment by signaling limited near-term appreciation potential. TME analyst rating information

Tencent Music Entertainment Group Company Profile

Tencent Music Entertainment Group NYSE: TME is a China-based digital music and audio entertainment platform that operates a portfolio of leading music streaming and social entertainment services. Its core consumer-facing products include streaming apps, online karaoke (KTV) services and live music and entertainment broadcasts. The company monetizes its content through a mix of subscriptions, digital music sales, in-app purchases, virtual gifting, advertising and licensing arrangements with rights holders.

The company traces its roots to the consolidation of Tencent's music assets and was established in the mid-2010s to unify several prominent music properties under a single operating entity.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source