Tencent Holdings Ltd. (0700) - A Valuation On 21st May 2021
Tencent Holdings Ltd. (0700) - A Valuation On 21st May 2021
This sprawling tech conglomerate seems to have its tentacles in almost everything. Does their control of so much of China's social media and payment infrastructure increase their nationalisation risk?
The Story
Tencent Holdings Ltd. is a Chinese technology conglomerate. It was founded in 1998 and has grown to become one of the world’s most giant video game, social media, venture capital, fintech, and investment companies.
The company operates across four sub-segments:
Value-Added Services: Social Networks and Digital Content Services — 22% of revenues — Consumer-focused digital content subscriptions, membership privileges and virtual items for sale.
Value-Added Services: Games — 32% of revenues — Consumer-focused mobile games, PC games and console games.
Online Advertising — 17% of revenues — Enterprise focused social and other advertising through Weixin, QQ, app store, browser and mobile advertising network.
FinTech and Business Services — 29% of revenues — Enterprise focused payments management, distribution of wealth management and other FinTech services, cloud services and intelligent cloud retail solutions.
Despite sprawling interests in over 600 other products and companies outs…