Why Tencent Rallied Today
Shares of Chinese tech giant Tencent Holdings (OTC: TCEHY) rallied today, up as much as 4.5% before settling into a 3.5% gain at the end of the trading day.
Tencent reported its March quarter earnings today, displaying accelerating growth and margin expansion, helped along by artificial intelligence (AI) investments. Given that Chinese tech giants still mostly trade at cheaper valuations than the U.S.'s "Magnificent Seven" stocks, it's no wonder Tencent rallied today.
In the first quarter, Tencent grew revenue up 13%, along with non-IFRS operating margins expanding from 37% to 39%, resulting in operating income growth of 18%.
Source Fool.com
Tencent Holdings Ltd. Stock
€53.80
-0.170%
Currently there is a rather positive sentiment for Tencent Holdings Ltd. with 6 Buy predictions and 3 Sell predictions.
However, we have a potential of -7.06% for Tencent Holdings Ltd. as the target price of 50 € is below the current price of 53.8 €.
