Benzingaยท2025-01-06 19:20Group 1 - The analyst maintained a Buy rating on Tencent Holdings with a price target of 542 Hong Kong dollars ($69.70 U.S. dollars) [1] - Tencent has demonstrated platform leadership through patience, balanced execution, and transformation mindsets, becoming an industry leader in multiple internet domains such as Tencent Video, Tencent Pay, and Tencent Games [2] - The company is focusing on critical resources and multi-strategies for exploring AI opportunities, leveraging its hypercomputing cluster and sophisticated data to narrow the gap with peers [2] Group 2 - Tencent Video is solidifying the company's leadership in online video entertainment by focusing on high-quality content creation and improving profitability through resource allocation and anti-pirating measures [3] - China Literature is identified as a key catalyst for monetizing intellectual properties (IPs) through various entertainment formats, which will help expand Tencent's reach overseas [4] - The company is confident in its revenue growth potential, driven by its unique WeChat ecosystem and diverse monetization levers across various sectors [5] Group 3 - Tencent is trading at 15 times 2025E P/E, with a consistent shareholder return policy, having surpassed its 2024 annual buyback target by repurchasing shares worth 112 billion Hong Kong dollars ($14.4 billion U.S. dollars) [6] - The stock is currently down 8.18% at $48.82 at the time of publication [6]