Tencent Holdings Ltd.

At the same time, Tencent is experiencing increasing competition from large internet companies such as ByteDance Ltd., Alibaba Group Holding Ltd., and Baidu Inc. across many of its core businesses including online games, music, video, etc. We expect its market share to remain resilient for now, given Tencent's deep domain knowledge that it has gained over the years. As a result, we expect revenue growth to remain at 20% in 2020, which is largely in line with 2019 despite headwinds from the COVID-19 pandemic for some of its businesses. Profit margins should remain flattish as we expect marketing costs to pick up with the recovery of its payments business going forward. The stable outlook reflects our expectation that Tencent will

...Tencent Holdings Ltd.'s expansive and leading online services provide cross-platform synergies, although competition is intensifying. Tencent's leading online and mobile services including online games, communications, video, payments, as well as other social and entertainment services create synergies across its various platforms. Such synergies help Tencent accelerate the launch of newer platforms and increase competitive advantages in existing platforms that are harder for competitors to overcome. At the same time, Tencent is experiencing increasing competition from large internet companies such as ByteDance Ltd., Alibaba Group Holding Ltd., and Baidu Inc. across many of its core businesses including online games, music, video, etc. We expect its market share to remain resilient for now, given Tencent's deep domain knowledge that it has gained over the years. Online services lessens impact from the COVID-19 pandemic. Online entertainment, remote work solutions, Mini Programs, and other...

Full Report