[ET Net News Agency, 17 May 2018] Goldman Sachs raised its target price for Tencent
Holdings (00700) to HK$546 from HK$535, and retained its "buy" rating.
The research house said Tencent's 1Q revenue of Rmb73.5bn (+48% yoy) came 1% higher than
Goldman's estimate, and non-GAAP diluted EPS grew 28% yoy to Rmb1.91 which was slightly
below consensus.
Revenues of online games, online advertising, and video, as well as VAS gross margins
all grew strongly. Goldman adjusted its 2018-20 revenue by 1-4% factoring in continued
growth in mobile games, better-than-expected online advertising revenue outlook, and gains
in other revenue from payment and cloud businesses. (KL)