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Tencent Music Entertainment Group

NYSE:TME
Snowflake Description

Flawless balance sheet with high growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TME
NYSE
$28B
Market Cap
  1. Home
  2. US
  3. Media
Company description

Tencent Music Entertainment Group operates an online music entertainment platform that provides online music and music-centric social entertainment services in China. The last earnings update was 5 days ago. More info.


Add to Portfolio Compare Print
  • Tencent Music Entertainment Group has significant price volatility in the past 3 months.
TME Share Price and Events
7 Day Returns
-7.1%
NYSE:TME
-2.3%
US Entertainment
-1.1%
US Market
1 Year Returns
-
NYSE:TME
8.6%
US Entertainment
6.4%
US Market
TME Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Tencent Music Entertainment Group (TME) -7.1% -4.7% 41.5% - - -
US Entertainment -2.3% -0% 17% 8.6% 60.8% 84.3%
US Market -1.1% 0.3% 16.7% 6.4% 37.9% 42.1%
1 Year Return vs Industry and Market
  • No trading data on TME.
  • No trading data on TME.
Price Volatility
Industry
5yr Volatility vs Market
Related Companies

NetEase

NasdaqGS:NTES

Add Compare

Value

 Is Tencent Music Entertainment Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Tencent Music Entertainment Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Tencent Music Entertainment Group.

NYSE:TME Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 12 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.6%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:TME
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Entertainment Unlevered Beta Simply Wall St/ S&P Global 0.97
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.967 (1 + (1- 25%) (0%))
0.978
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.98
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.978 * 5.96%)
8.56%

Discounted Cash Flow Calculation for NYSE:TME using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Tencent Music Entertainment Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:TME DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CNY, Millions) Source Present Value
Discounted (@ 8.56%)
2019 4,641.02 Analyst x5 4,275.19
2020 6,534.78 Analyst x6 5,545.18
2021 8,422.88 Analyst x5 6,583.96
2022 13,102.05 Analyst x2 9,434.27
2023 14,545.00 Analyst x1 9,647.73
2024 15,727.61 Est @ 8.13% 9,609.85
2025 16,751.56 Est @ 6.51% 9,428.69
2026 17,652.18 Est @ 5.38% 9,152.43
2027 18,461.08 Est @ 4.58% 8,817.34
2028 19,204.45 Est @ 4.03% 8,449.38
Present value of next 10 years cash flows CN¥80,944.03
NYSE:TME DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= CN¥19,204.45 × (1 + 2.73%) ÷ (8.56% – 2.73%)
CN¥338,576.17
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CN¥338,576.17 ÷ (1 + 8.56%)10
CN¥148,963.28
NYSE:TME Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CN¥80,944.03 + CN¥148,963.28
CN¥229,907.31
Equity Value per Share
(CNY)
= Total value / Shares Outstanding
= CN¥229,907.31 / 1,635.45
CN¥140.58
NYSE:TME Discount to Share Price
Calculation Result
Exchange Rate CNY/USD
(Reporting currency to currency of NYSE:TME)
0.149
Value per Share
(USD)
= Value per Share in CNY x Exchange Rate (CNY/USD)
= CN¥140.58 x 0.149
$20.93
Value per share (USD) From above. $20.93
Current discount Discount to share price of $16.98
= -1 x ($16.98 - $20.93) / $20.93
18.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Tencent Music Entertainment Group is available for.
Intrinsic value
19%
Share price is $16.98 vs Future cash flow value of $20.93
Current Discount Checks
For Tencent Music Entertainment Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Tencent Music Entertainment Group's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Tencent Music Entertainment Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Tencent Music Entertainment Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Tencent Music Entertainment Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:TME PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in CNY CN¥1.19
NYSE:TME Share Price ** NYSE (2019-03-22) in USD $16.98
NYSE:TME Share Price converted to CNY reporting currency Exchange rate (USD/ CNY) 6.717 CN¥114.05
United States of America Entertainment Industry PE Ratio Median Figure of 24 Publicly-Listed Entertainment Companies 24.51x
United States of America Market PE Ratio Median Figure of 3,061 Publicly-Listed Companies 17.15x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Tencent Music Entertainment Group.

NYSE:TME PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:TME Share Price ÷ EPS (both in CNY)

= 114.05 ÷ 1.19

95.7x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Tencent Music Entertainment Group is overvalued based on earnings compared to the US Entertainment industry average.
  • Tencent Music Entertainment Group is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Tencent Music Entertainment Group's expected growth come at a high price?
Raw Data
NYSE:TME PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 95.7x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts
33.9%per year
United States of America Entertainment Industry PEG Ratio Median Figure of 20 Publicly-Listed Entertainment Companies 1.89x
United States of America Market PEG Ratio Median Figure of 2,104 Publicly-Listed Companies 1.45x

*Line of best fit is calculated by linear regression .

NYSE:TME PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 95.7x ÷ 33.9%

2.82x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Tencent Music Entertainment Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Tencent Music Entertainment Group's assets?
Raw Data
NYSE:TME PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in CNY CN¥24.13
NYSE:TME Share Price * NYSE (2019-03-22) in USD $16.98
NYSE:TME Share Price converted to CNY reporting currency Exchange rate (USD/ CNY) 6.717 CN¥114.05
United States of America Entertainment Industry PB Ratio Median Figure of 53 Publicly-Listed Entertainment Companies 3.15x
United States of America Market PB Ratio Median Figure of 5,164 Publicly-Listed Companies 1.84x
NYSE:TME PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:TME Share Price ÷ Book Value per Share (both in CNY)

= 114.05 ÷ 24.13

4.73x

* Primary Listing of Tencent Music Entertainment Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Tencent Music Entertainment Group is overvalued based on assets compared to the US Entertainment industry average.
X
Value checks
We assess Tencent Music Entertainment Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Entertainment industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Entertainment industry average (and greater than 0)? (1 check)
  5. Tencent Music Entertainment Group has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Tencent Music Entertainment Group expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
33.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Tencent Music Entertainment Group expected to grow at an attractive rate?
  • Tencent Music Entertainment Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Tencent Music Entertainment Group's earnings growth is expected to exceed the United States of America market average.
  • Tencent Music Entertainment Group's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:TME Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:TME Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts 33.9%
NYSE:TME Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts 23.6%
United States of America Entertainment Industry Earnings Growth Rate Market Cap Weighted Average 11.1%
United States of America Entertainment Industry Revenue Growth Rate Market Cap Weighted Average 10.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:TME Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:TME Future Estimates Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 74,049 12,535 2
2022-12-31 61,597 11,937 11,189 2
2021-12-31 47,287 8,971 7,471 9
2020-12-31 35,341 7,009 5,146 11
2019-12-31 26,248 4,565 3,713 12
NYSE:TME Past Financials Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income *
2018-12-31 18,985 5,632 1,833
2018-09-30 17,174 3,447 3,245
2018-06-30 15,115 2,626 2,675
2018-03-31 13,048 2,563 2,001
2017-12-31 10,981 2,500 1,326
2017-09-30 8,614 3,050 904
2017-06-30 6,923 2,524 623
2017-03-31 5,642 1,699 353
2016-12-31 4,361 873 82

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Tencent Music Entertainment Group's earnings are expected to grow significantly at over 20% yearly.
  • Tencent Music Entertainment Group's revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:TME Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below

All data from Tencent Music Entertainment Group Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TME Future Estimates Data
Date (Data in CNY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31 6.63 6.63 6.63 1.00
2021-12-31 4.43 4.90 4.06 4.00
2020-12-31 3.15 3.70 2.62 7.00
2019-12-31 2.27 2.45 2.18 7.00
NYSE:TME Past Financials Data
Date (Data in CNY Millions) EPS *
2018-12-31 1.19
2018-09-30 2.19
2018-06-30 1.88
2018-03-31 1.47
2017-12-31 1.02
2017-09-30 0.70
2017-06-30 0.48
2017-03-31 0.32
2016-12-31 0.09

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Tencent Music Entertainment Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Tencent Music Entertainment Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Tencent Music Entertainment Group has a total score of 5/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Tencent Music Entertainment Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Tencent Music Entertainment Group's growth in the last year to its industry (Entertainment).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Unable to establish if Tencent Music Entertainment Group's year on year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.
  • Unable to compare Tencent Music Entertainment Group's 1-year earnings growth to the 5-year average as it has been trading publicly for less than 3 years.
  • Tencent Music Entertainment Group's earnings growth has not exceeded the US Entertainment industry average in the past year (38.2% vs 38.2%).
Earnings and Revenue History
Tencent Music Entertainment Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Tencent Music Entertainment Group Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TME Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 18,985.00 1,833.00 3,972.00
2018-09-30 17,174.00 3,245.00 3,475.00
2018-06-30 15,115.00 2,675.00 3,097.00
2018-03-31 13,048.00 2,000.50 2,765.50
2017-12-31 10,981.00 1,326.00 2,434.00
2017-09-30 8,614.15 903.73 1,891.91 -100.66
2017-06-30 6,923.29 623.46 1,605.82 -201.32
2017-03-31 5,642.15 352.73 1,376.91 -100.66
2016-12-31 4,361.00 82.00 1,148.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Tencent Music Entertainment Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Tencent Music Entertainment Group used its assets less efficiently than the US Entertainment industry average last year based on Return on Assets.
  • Unable to establish if Tencent Music Entertainment Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess Tencent Music Entertainment Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Entertainment industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Tencent Music Entertainment Group has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Tencent Music Entertainment Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Tencent Music Entertainment Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Tencent Music Entertainment Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Tencent Music Entertainment Group's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Tencent Music Entertainment Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Tencent Music Entertainment Group has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Tencent Music Entertainment Group Company Filings, last reported 2 months ago.

NYSE:TME Past Debt and Equity Data
Date (Data in CNY Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 37,772.00 0.00 17,437.00
2018-09-30 34,123.00 0.00 11,529.00
2018-06-30 31,137.00 0.00 9,529.00
2018-03-31 31,137.00 0.00 9,529.00
2017-12-31 26,148.00 0.00 5,174.00
2017-09-30
2017-06-30
2017-03-31 20,634.00 0.00 3,332.00
2016-12-31 20,634.00 0.00 3,332.00
  • Tencent Music Entertainment Group has no debt.
  • Tencent Music Entertainment Group has not taken on any debt in the past 5 years.
  • Tencent Music Entertainment Group has no debt, it does not need to be covered by operating cash flow.
  • Tencent Music Entertainment Group has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Tencent Music Entertainment Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Tencent Music Entertainment Group has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Tencent Music Entertainment Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Tencent Music Entertainment Group dividends. Estimated to be 0% next year.
If you bought $2,000 of Tencent Music Entertainment Group shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Tencent Music Entertainment Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Tencent Music Entertainment Group's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:TME Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
United States of America Entertainment Industry Average Dividend Yield Market Cap Weighted Average of 10 Stocks 1.3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2003 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.9%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:TME Future Dividends Estimate Data
Date (Data in CN¥) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.00 3.00
2020-12-31 0.00 3.00
2019-12-31 0.00 4.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Tencent Music Entertainment Group has not reported any payouts.
  • Unable to verify if Tencent Music Entertainment Group's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Tencent Music Entertainment Group's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Tencent Music Entertainment Group has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Tencent Music Entertainment Group's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Tencent Music Entertainment Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Tencent Music Entertainment Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Tencent Music Entertainment Group has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Tencent Music Entertainment Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Cussion Pang
AGE 43
CEO Bio

Mr. Pang Cussion serves as the Chief Executive Officer of Tencent Music Entertainment Group and has been its Director since May 2014. Prior to joining us, Mr. Pang served as a corporate vice president of Tencent and has extensive experience across multiple businesses within Tencent including online games, e-commerce and social networking since 2008. Besides, Mr. Pang served as the head of QQ Music since 2014 and has extensive experience in China’s online music entertainment industry. Prior to joining Tencent, Mr. Pang worked in a number of publicly listed companies in telecommunications, internet and media industries for over a decade. Mr. Pang received a bachelor’s degree in mathematics (honors), business administration and information systems from University of Waterloo.

CEO Compensation
  • Insufficient data for Cussion to compare compensation growth.
  • Insufficient data for Cussion to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team

Cussion Pang

TITLE
CEO & Director
AGE
43

Zhenyu Xie

TITLE
Co-President & Director
AGE
42

Guomin Xie

TITLE
Co-President & Director
AGE
43

Min Hu

TITLE
Chief Financial Officer
AGE
45

Tony Yip

TITLE
Chief Strategy Officer
AGE
36
TENURE
1.2 yrs

Millicent T.

TITLE
Vice General Manager
Board of Directors Tenure

Average tenure and age of the Tencent Music Entertainment Group board of directors in years:

2.7
Average Tenure
43
Average Age
  • The average tenure for the Tencent Music Entertainment Group board of directors is less than 3 years, this suggests a new board.
Board of Directors

Tao Sang Tong

TITLE
Chairman of the Board
AGE
45

Cussion Pang

TITLE
CEO & Director
AGE
43
TENURE
4.8 yrs

Zhenyu Xie

TITLE
Co-President & Director
AGE
42
TENURE
4.9 yrs

Guomin Xie

TITLE
Co-President & Director
AGE
43
TENURE
6.8 yrs

Edith Ngan

TITLE
Independent Director
TENURE
0.3 yrs

Brent Richard Irvin

TITLE
Director
AGE
45
TENURE
2.7 yrs

Liang Tang

TITLE
Director
AGE
39
TENURE
4.9 yrs

Tak-Wai Wong

TITLE
Director
AGE
41
TENURE
2.7 yrs

Martin Lau

TITLE
Director
AGE
45
TENURE
2.7 yrs

James Mitchell

TITLE
Director
AGE
44
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Tencent Music Entertainment Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Tencent Music Entertainment Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Why We Think Tencent Music Entertainment Group (NYSE:TME) Could Be Worth Looking At

As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook. … financial health as well as

Simply Wall St -

Is Tencent Music Entertainment Group's (NYSE:TME) ROE Of 9.5% Concerning?

We'll use ROE to examine Tencent Music Entertainment Group (NYSE:TME), by way of a worked example. … Tencent Music Entertainment Group has a ROE of 9.5%, based on the last twelve months. … Check out our latest analysis for Tencent Music Entertainment Group?

Simply Wall St -

Company Info

Description

Tencent Music Entertainment Group operates an online music entertainment platform that provides online music and music-centric social entertainment services in China. It offers QQ Music, Kugou Music, and Kuwo Music that enable users to discover and listen to music in personalized ways; and WeSing, which enables users to have fun by singing and interacting with friends, sharing their singing performances with friends, and discovering songs that others have sung. The company also operates Kugou Live and Kuwo Live that provides an interactive online stage for performers and users to showcase their talent and engage with those interested in their performance. In addition, it sells music-related merchandise, including Kugou M1 headsets, smart speakers, WeSing karaoke microphones, and Hi-Fi systems; and offers online music event ticketing services, as well as services to smart device and automobile makers to build and operate music services on devices and vehicles. The company was formerly known as China Music Corporation. The company was incorporated in 2012 and is based in Shenzhen, Chiane. Tencent Music Entertainment Group is a subsidiary of Tencent Holdings Limited.

Details
Name: Tencent Music Entertainment Group
TME
Exchange: NYSE
Founded: 2012
$27,769,950,610
1,635,450,566
Website: http://www.tencent.com
Address: Tencent Music Entertainment Group
Malata Building, Kejizhongyi Road,
17th Floor,
Shenzhen,
Guangdong Province, 518057,
China
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE TME SPON ADS New York Stock Exchange US USD 12. Dec 2018
Number of employees
Current staff
Staff numbers
2,559
Tencent Music Entertainment Group employees.
Industry
Movies and Entertainment
Media
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/24 00:49
End of day share price update: 2019/03/22 00:00
Last estimates confirmation: 2019/03/21
Last earnings filing: 2019/03/19
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.