Tencent Holdings Ltd TCEHYTOP PICKApr 14, 2020Stock price when the opinion was issued
As of May 28, 2026. Market Open.
Important, because it's the super-app for the Chinese consumer. Has a gaming platform, chat platform, and moving into the AI sphere. Interesting equity, but you need to make a call on China as a whole.
Remember what happened when the finance arm of BABA was supposed to go public: CEO said some things, Chinese government stepped in, Ant Financial was pulled, stock price of BABA collapsed by 70%, CEO disappeared for a few months. During that time, Tencent all of a sudden had to make a large donation to charity -- not something you can forecast. By investing in Tencent, you have to sign up for that.
Otherwise, a great company. Well managed, well structured, and they own the Chinese consumer.
This didn't come down much during the pandemic. Has good growth and diversification. Has its own payment system. Actually, this sold off last year during the trade war, but has held in this year like a rock. They are solid. Has good growth ahead. (Analysts’ price target is $56.67)