0906 GMT - Tencent's games business likely remained resilient in 4Q, HSBC analysts say in a research note. Domestic game sales growth is expected to accelerate to 20% on year in 4Q, up from 14% in 3Q, driven by a full-quarter contribution from "Delta Force" and strong performances from evergreen titles. International game revenue growth likely rose to 12% on year in 4Q, thanks to deferred revenue from "Supercell." HSBC expects further upside for WeChat-embedded video accounts, supported by more diverse content and livestreaming e-commerce. Tencent could also announce additional shareholder return plans with its 4Q results, following its aggressive share buyback earlier this month. HSBC maintains a buy rating on Tencent but lowers its target price to HK$540 from HK$570. Shares last closed at HK$389.80. (sherry.qin@wsj.com)
(END) Dow Jones Newswires
January 20, 2025 04:06 ET (09:06 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.