Tencent climbs most in five weeks on outlook optimism over AI investments

Tencent Holdings

14/05/2026 03:46

** Shares of Tencent 0700.HK climb 3.7% to HK$479.6, set for their biggest one-day pct gain since April 8

** Stock hits highest point since May 7, up for a second straight session

** Sixth-biggest pct gainer in the Hang Seng TECH Index .HSTECH, which is up 1.3%

** Tencent reported first-quarter revenue and net profit below expectations on Wednesday as the Chinese tech giant ramps up investment in artificial intelligence in an increasingly crowded market

** Citi maintains "buy", saying it remains confident that Tencent's AI initiative will gradually come into fruition along with sustainable core profit growth

** Jefferies keeps "buy", saying it expects advertising to gain market share and resilient game performance is expected from evergreen titles

** Morningstar says Tencent's AI investments are already delivering return, evidenced by an upgraded AI-driven ad recommendation model driving acceleration in advertising revenue growth to 20%

** YTD, stock down 21.3%, while the benchmark Hang Seng Index .HSI up 3.9%

 (Reporting by Donny Kwok)

 ((donny.kwok@thomsonreuters.com))