Tencent Music Entertainment Group (NYSE:TME) Reaches New 1-Year Low – Time to Sell?

Shares of Tencent Music Entertainment Group Sponsored ADR (NYSE:TME) reached a new 52-week low during mid-day trading on Monday . The company traded as low as $8.35 and last traded at $8.4350, with a volume of 1289403 shares trading hands. The stock had previously closed at $8.73.

Analyst Ratings Changes

Several equities analysts have recently commented on TME shares. Mizuho lowered their price objective on shares of Tencent Music Entertainment Group from $23.00 to $18.00 and set an “outperform” rating for the company in a research note on Wednesday, May 13th. UBS Group restated a “neutral” rating and set a $13.00 price target (down from $26.00) on shares of Tencent Music Entertainment Group in a report on Wednesday, March 18th. Morgan Stanley reaffirmed an “equal weight” rating on shares of Tencent Music Entertainment Group in a research report on Thursday, March 19th. Jefferies Financial Group reiterated a “buy” rating and issued a $23.00 price objective on shares of Tencent Music Entertainment Group in a report on Tuesday, March 17th. Finally, Barclays cut their price objective on Tencent Music Entertainment Group from $28.00 to $20.00 and set an “overweight” rating on the stock in a research report on Thursday, March 19th. Six analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $21.44.

Tencent Music Entertainment Group Stock Performance

The company’s 50-day moving average price is $9.20 and its 200 day moving average price is $12.99. 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 stock has a market capitalization of $12.92 billion, a PE ratio of 10.26, a PEG ratio of 0.54 and a beta of 0.80.

Tencent Music Entertainment Group (NYSE:TME) last announced its quarterly earnings results on Tuesday, March 31st. The company reported $0.11 earnings per share (EPS) for the quarter. Tencent Music Entertainment Group had a net margin of 26.45% and a return on equity of 11.20%. The company had revenue of $1.15 billion for the quarter. On average, equities research analysts expect that Tencent Music Entertainment Group Sponsored ADR will post 0.9 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in TME. Allworth Financial LP lifted its stake in shares of Tencent Music Entertainment Group by 63.2% in the 3rd quarter. Allworth Financial LP now owns 1,480 shares of the company’s stock valued at $35,000 after purchasing an additional 573 shares during the period. Caitong International Asset Management Co. Ltd raised its holdings in Tencent Music Entertainment Group by 5,777.1% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 2,057 shares of the company’s stock worth $36,000 after purchasing an additional 2,022 shares in the last quarter. Smartleaf Asset Management LLC raised its holdings in Tencent Music Entertainment Group by 61.3% in the fourth quarter. Smartleaf Asset Management LLC now owns 2,123 shares of the company’s stock worth $37,000 after purchasing an additional 807 shares in the last quarter. Kestra Advisory Services LLC purchased a new position in Tencent Music Entertainment Group during the fourth quarter valued at $46,000. Finally, EverSource Wealth Advisors LLC lifted its position in Tencent Music Entertainment Group by 83.0% during the second quarter. EverSource Wealth Advisors LLC now owns 3,005 shares of the company’s stock valued at $59,000 after buying an additional 1,363 shares during the period. Hedge funds and other institutional investors own 24.32% of the company’s stock.

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.