Zhi Tong Cai Jing·2025-10-21 08:42Core Viewpoint - Morgan Stanley forecasts Tencent Holdings (00700) to achieve a 13% year-on-year revenue growth in Q3, with an 18% increase in non-IFRS operating profit, highlighting potential growth in gaming and advertising sectors, and suggesting that profit margins may continue to expand [1] Group 1: Financial Projections - The firm maintains an "Overweight" rating on Tencent, setting a target price of HKD 700, continuing to position it as a preferred stock [1] - Morgan Stanley has raised its non-IFRS operating profit forecasts for Tencent for the years 2025 to 2027 by 1% to 2% [1] - The expected capital expenditure for Tencent from 2025 to 2027 is projected to be RMB 320 billion [1] Group 2: Business Outlook - The firm is optimistic about Tencent's robust growth across all business segments, citing positive operating leverage, limited competition, and strong capital management and execution capabilities [1]