Tencent Music stock gains 0.76 percent after a weak year

Published on 10/08/2026 at 06:02 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Tencent Music stock lost 65.842 percent over one year through October 7, 2026. Second-quarter revenue rose 6 percent to CNY 8.93 billion while EPS missed consensus.

TME, US88034P1093, Illustration mit AI erstellt.

Tencent Music Entertainment Group (ISIN US88034P1093) lost 65.842 percent over the year through October 7, 2026, putting the stock near the bottom of its annual trading range. The second-quarter figures show growth in revenue but weaker earnings momentum.

Revenue grows while EPS misses

According to Investing.com, Tencent Music reported second-quarter 2026 revenue of CNY 8.93 billion, up 6 percent year over year and above the CNY 8.79 billion estimate. EPS came in at CNY 1.57 against a CNY 1.62 consensus forecast, making the revenue beat less powerful for investors.

The same earnings summary puts gross margin at 44.2 percent, down from 44.4 percent, and points to additional margin pressure in the second half of 2026 from seasonal mix and the integration of Ximalaya. Membership revenue rose 8 percent to CNY 4.8 billion, according to Investing.com.

Consensus remains above the stock

Investing.com lists a Buy consensus from 29 analysts and an average 12-month price target of USD 12.59. Its published analyst table includes Nomura at USD 10.00 with a Hold rating, UBS at USD 9.50 with a Hold rating, Goldman Sachs at USD 11.70 with a Buy rating and Mizuho at USD 15.00 with a Buy rating, all dated August 12 or August 13, 2026.

The valuation gap is substantial. The average target of USD 12.59 stands 57.6 percent above the October 7 stock price of USD 7.99, while the published target range reaches from USD 9.06 to USD 24.03. The wide spread shows that expectations differ sharply over subscription growth, margins and the contribution from Ximalaya.

Stock remains below its yearly peak

Tencent Music shares were last at USD 7.99 on the NYSE on October 7, 2026, at 4:00 p.m. EDT, up USD 0.06 or 0.76 percent from the prior close of USD 7.93. The session range was USD 7.85 to USD 8.02, while the 52-week range was USD 7.66 to USD 23.86.

For investors, the key comparison is between the 6 percent revenue increase and the 3.1 percent EPS shortfall against consensus. Tencent Music's next reported checkpoint is scheduled for November 17, 2026, according to Investing.com.

USD 7.99 keeps the range in view

The October 7 closing price left Tencent Music 66.5 percent below its 52-week high and USD 0.33 above the annual low. Market capitalization stood at USD 12.3 billion on October 7, 2026, with volume of 2,681,529 shares.