Tencent Music Entertainment Group ADR (NYSE: TME) has a price-to-earnings ratio of 24.01x that is above its average ratio. Additionally, the 36-month beta value for TME is 0.52. There are mixed opinions on the stock, with 18 analysts rating it as a “buy,” 9 rating it as “overweight,” 3 rating it as “hold,” and 0 rating it as “sell.”
The public float for TME is 693.71M and currently, short sellers hold a 3.32% ratio of that float. The average trading volume of TME on March 25, 2025 was 8.13M shares.
TME) stock’s latest price update
The stock of Tencent Music Entertainment Group ADR (NYSE: TME) has increased by 1.29 when compared to last closing price of 14.00.Despite this, the company has seen a gain of 8.58% in its stock price over the last five trading days. seekingalpha.com reported 2025-03-24 that Tencent Music’s 4Q24 shows strong growth in online music services but continued weakness in social entertainment, leading to a cautious stock outlook. Music subscription revenue grew 18% y/y, driven by increased paying users and ARPU, while social entertainment revenue declined 13% y/y. TME’s valuation should focus on the music subscription segment, implying a 10% downside to $13/share, given the limited value of social entertainment.
TME’s Market Performance
TME’s stock has risen by 8.58% in the past week, with a monthly drop of -1.39% and a quarterly rise of 20.48%. The volatility ratio for the week is 4.84% while the volatility levels for the last 30 days are 4.58% for Tencent Music Entertainment Group ADR The simple moving average for the past 20 days is 7.72% for TME’s stock, with a 15.14% simple moving average for the past 200 days.
Analysts’ Opinion of TME
Barclays, on the other hand, stated in their research note that they expect to see TME reach a price target of $16. The rating they have provided for TME stocks is “Overweight” according to the report published on November 06th, 2024.
Bernstein gave a rating of “Outperform” to TME, setting the target price at $14 in the report published on November 04th of the previous year.
TME Trading at 14.03% from the 50-Day Moving Average
After a stumble in the market that brought TME to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -10.08% of loss for the given period.
Volatility was left at 4.58%, however, over the last 30 days, the volatility rate increased by 4.84%, as shares surge +9.24% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +29.85% upper at present.
During the last 5 trading sessions, TME rose by +8.58%, which changed the moving average for the period of 200-days by +1.29% in comparison to the 20-day moving average, which settled at $13.16. In addition, Tencent Music Entertainment Group ADR saw 24.93% in overturn over a single year, with a tendency to cut further gains.
Stock Fundamentals for TME
Current profitability levels for the company are sitting at:
- 0.31 for the present operating margin
- 0.42 for the gross margin
The net margin for Tencent Music Entertainment Group ADR stands at 0.23. The total capital return value is set at 0.12. Equity return is now at value 10.75, with 8.01 for asset returns.
Based on Tencent Music Entertainment Group ADR (TME), the company’s capital structure generated 0.05 points at debt to capital in total, while cash flow to debt ratio is standing at 2.64. The debt to equity ratio resting at 0.06. The interest coverage ratio of the stock is 56.93.
Currently, EBITDA for the company is 8.23 billion with net debt to EBITDA at -1.09. When we switch over and look at the enterprise to sales, we see a ratio of 2.21. The receivables turnover for the company is 8.1for trailing twelve months and the total asset turnover is 0.31. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.09.
Conclusion
In conclusion, Tencent Music Entertainment Group ADR (TME) has seen better performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
