Stock analysis · Bull Rankings model

TME analysis

Tencent Music Entertainment GroupMedia. Scored on the same transparent 7-signal model behind the daily rankings.

TME
Tencent Music Entertainment Group · Media
FCF
Rev+15.4%B+
D/E0.05A
P/E10.0xA-
PEG0.65A-
81Score
$8.81
1Y Target$10.13Near-term target
5Y Target$14.19Compound horizon
10Y Target$20.86Long-dated conviction
FCFTTM
FCF not applicable for this sector (bank / insurer / REIT) or data unavailable
Rev+15.4%TTM YoY
B+
Revenue +15.4% — above sector median, healthy trajectory
D/E0.05
A
D/E 0.05 — essentially debt-free, pristine balance sheet
P/E10.0x
A-
P/E 10.0 — cheap relative to market and most sectors
PEG0.65proxy
A-
PEG 0.65 — strong; Lynch's preferred zone · PEG proxy: P/E ÷ revenue growth % (true PEG requires forward EPS estimates, not in Finnhub free tier).
Why now
Media · market cap $13.1b. Down 67% from 52-week high of $26.70 — deep drawdown territory. Revenue growing +15%, comfortably above the S&P median. PEG 0.65 — paying under fair value for the growth rate.
Moat
Net margin 26% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 14% meets the long-run market sustainable threshold — solid but not differentiated; the durability comes from elsewhere.
Risk
Down 67% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up.
Horizon
1-3 yr $10.13 (structural (no analyst coverage)) — fundamentals + valuation re-rating. 5 yr $14.19 at ~10% CAGR — compounding case rests on the competitive position widening. 10 yr $20.86 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
Shares to buy
227
Position size
$2,000
4.0% of portfolio
Stop price
$6.61
25% below $8.81
$ at risk
$500.00
1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

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