Tencent Music's Hong Kong shares hit 7-week low after results

Tencent Music Entertainment

13/11/2024 03:14

** Hong Kong shares of Tencent Music Entertainment  1698.HK 
drop as much as 10.3% to HK$40.6, their lowest since Sept. 24,
and on track to snap two consecutive sessions of gains
    ** Stock on course for the biggest one-day decline since
Oct. 8 
    ** U.S.-listed stock  TME.N  fell 5.5% on Tuesday 
    ** Tencent Music reported a return to quarterly revenue
growth on Tuesday, after four straight quarters of decline, but
the social entertainment unit continues to weigh on overall
growth amid removal of certain live-streaming features to comply
with Beijing's anti-gambling regulations
    ** Tencent Music CEO Ross Liang expects the social
entertainment business to be stable in 2025
    ** Citi maintains "Buy" on the U.S. shares but trims target
price to $14.50 from $15 saying 3Q24 print came relatively
in-line with expectations overall and view share price weakness
post result print as an enhanced buying opportunity
    ** Hang Seng Tech Index  .HSTECH  falls 1.6% and Hang Seng
Index  .HSI  slips 0.8%
    ** Hong Kong stock rose 33.1% YTD, U.S.-listed shares up
21.2% YTD

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))