Is "Atlas of Tomorrow" Propelling Tencent Music (TME) Into a New Era of Cultural Influence?

• Honor of Kings, the popular mobile game, recently collaborated with Tencent Music Entertainment Group to release its 10th anniversary theme song "Atlas of Tomorrow," composed and performed by JJ Lin and launched on October 28, 2025, which quickly dominated Chinese streaming charts and amassed very large viewership across platforms.
• This unprecedented cultural co-creation movement saw hundreds of tourism boards across China embracing the song, underlining Tencent Music's expanding influence through viral partnerships and its strategy to extend the reach of global cultural IP.
• We'll explore how the viral success and cultural impact of "Atlas of Tomorrow" could strengthen Tencent Music's investment narrative.

This technology could replace computers: discover 28 stocks that are working to make quantum computing a reality.

Tencent Music Entertainment Group Investment Narrative Recap

Owning Tencent Music Entertainment Group stock requires confidence in the firm’s ability to extend its influence in China’s music and cultural sectors, especially as it leverages partnerships like the Honor of Kings theme song. While this viral success broadens Tencent Music's reach and supports its efforts to diversify beyond traditional streaming, it does not materially shift the biggest near-term catalyst, which remains integration of the Ximalaya acquisition, nor does it reduce the key risks tied to regulatory headwinds and competition.

The just-announced acquisition of Ximalaya, a major Chinese podcasting platform, is particularly relevant. This move offers potential for further revenue growth in long-form audio, but analysts largely agree that competitive pressure and uncertainty around the integration process could limit near-term upside, keeping risk and reward balanced for now.

However, investors should also keep in mind that despite headline-making partnerships, heightened regulatory scrutiny in China's media sector remains a key concern and ...

Read the full narrative on Tencent Music Entertainment Group (it's free!)

Tencent Music Entertainment Group's outlook sees revenues reaching CN¥45.8 billion and earnings of CN¥13.7 billion by 2028. This projection relies on a 14.8% annual revenue growth rate and a CN¥3.5 billion increase in earnings from the current CN¥10.2 billion.

Uncover how Tencent Music Entertainment Group's forecasts yield a $28.34 fair value, a 24% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members submitted five fair value estimates for Tencent Music, spanning from US$14.06 up to an outlier US$17,578.19. Some see the company’s rapid expansion into new content verticals as a sign of sustained growth potential while others point toward ongoing regulatory risks that may dampen future performance; explore these diverging views for a fuller picture.

Explore 5 other fair value estimates on Tencent Music Entertainment Group - why the stock might be a potential multi-bagger!

Build Your Own Tencent Music Entertainment Group Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Tencent Music Entertainment Group research is our analysis highlighting 4 key rewards that could impact your investment decision.
• Our free Tencent Music Entertainment Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Tencent Music Entertainment Group's overall financial health at a glance.

Want Some Alternatives?

Every day counts. These free picks are already gaining attention. See them before the crowd does:

• The latest GPUs need a type of rare earth metal called Dysprosium and there are only 36 companies in the world exploring or producing it. Find the list for free.
• The end of cancer? These 29 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com