Tencent Music Entertainment Group Class A

Tencent Music Entertainment Group Class A

142.60
MXN
+2.60
(+1.86%)
15.89EPS
9.32P/E
225.65BMarket Cap
Nov 17Next Earn

Total Valuation

MXN

As of June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A carries a market capitalization of 225.65B, placing it among publicly traded companies globally. Its enterprise value stands at 197.40B, reflecting the total theoretical takeover cost after accounting for cash holdings and debt obligations.

Market Cap225.65B
Enterprise Value197.40B

Important Dates

Tencent Music Entertainment Group Sponsored ADR Class A's next confirmed earnings release is scheduled for November 17, 2026.

Earnings Date11/17/2026

Share Statistics

As of June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A has 1.55B shares outstanding.

Shares Outstanding1.55B

Valuation Ratios

As of June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A trades at a trailing price-to-earnings ratio of 9.32. The price-to-sales ratio is 2.45, and the price-to-book ratio stands at 1.12.

PE Ratio9.32
PS Ratio2.45
PB Ratio1.12
P/TBV Ratio2.17
P/FCF Ratio7.45
P/OCF Ratio7.37

Enterprise Valuation

As of June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A trades at an EV/EBITDA multiple of 6.82 - the valuation measure that neutralizes differences in capital structure, tax rates, and depreciation policy, making it the standard yardstick for comparing companies across an industry. The EV/Sales ratio of 2.26 reflects the premium investors pay for the company's revenue stream, a useful check when earnings are depressed or negative. Its EV/EBIT multiple of 6.82 values the business against core operating earnings after depreciation, a stricter test than EV/EBITDA for capital-intensive businesses. Tencent Music Entertainment Group Sponsored ADR Class A trades at an EV/FCF ratio of 6.73, comparing the total takeover cost of the business to the cash it actually generates for all capital providers. These enterprise value multiples are built on an enterprise value of 197.40B versus a market cap of 225.65B, with the gap driven by net debt and cash on the balance sheet.

EV / Sales2.26
EV / EBITDA6.82
EV / EBIT6.82
EV / FCF6.73

Financial Position

As of June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A maintains a current ratio of 1.74, meaning it holds 1.7x the short-term assets needed to cover near-term liabilities. The debt-to-equity ratio is 20.83, indicating elevated leverage, while an interest coverage ratio of 82.59 demonstrates strong ability to service its debt obligations.

Current Ratio1.74
Quick Ratio1.59
Debt / Equity20.83
Debt / EBITDA1.50
Interest Coverage82.59

Financial Efficiency

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Over the twelve months ended June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A posted a return on equity (ROE) of 11.00, showing how much profit the company earns on every dollar of shareholder capital. Return on invested capital (ROIC) comes in at 9.64 - the clearest signal of whether the business earns more on its capital than that capital costs, and the core measure of a durable competitive advantage. Return on assets (ROA) stands at 7.93, measuring how efficiently the asset base is converted into earnings. Return on capital employed (ROCE) is 9.20, useful for judging operating efficiency across full business cycles. The company generates approximately 15.59M in revenue per employee across its workforce of 5,605.75, a quick read on workforce productivity versus industry peers. Inventory turnover of 290.66 indicates how many times Tencent Music Entertainment Group Sponsored ADR Class A sells and replaces its inventory over a year, a key working capital efficiency ratio.

Return on Equity (ROE)11.00
Return on Assets (ROA)7.93
Return on Invested Capital (ROIC)9.64
Return on Capital Employed (ROCE)9.20
Revenue Per Employee15.59M
Employee Count5,605.75
Inventory Turnover290.66

Taxes

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Over the twelve months ended June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A recorded 4.98B in income tax expense. That works out to an effective tax rate of 17.39, which can sit above or below the statutory corporate tax rate depending on foreign earnings mix, tax credits, and one-off items. Taxes are levied on pretax income of 28.64B, leaving 22.97B in net income after tax - the gap is what shifts in the tax rate do to reported earnings and EPS.

Income Tax4.98B
Effective Tax Rate17.39

Stock Price Statistics

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As of the close on October 8, 2026, Tencent Music Entertainment Group Sponsored ADR Class A's stock has declined approximately 66.60% over the past 52 weeks. The 50-day moving average sits at 171.93, while the 200-day moving average is 261.15.

52-Week Price Change-66.60%
50-Day Moving Average171.93
200-Day Moving Average261.15

Income Statement

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Over the twelve months ended June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A generated 87.38B in revenue and converted that into 22.97B in net income, yielding earnings per share of 15.89. EBITDA reached 28.92B, while operating income came in at 25.98B.

Revenue87.38B
Gross Profit38.73B
Operating Income25.98B
Pretax Income28.64B
Net Income22.97B
EBITDA28.92B
EBIT28.92B
Earnings Per Share (EPS)15.89

Balance Sheet

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As of June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A holds 78.94B in cash and equivalents against 43.48B in total debt, resulting in a net debt position of -18.46B. Total book value stands at 201.56B, with working capital of 43.63B providing operational flexibility.

Cash & Cash Equivalents78.94B
Total Debt43.48B
Net Debt-18.46B
Equity (Book Value)201.56B
Book Value Per Share129.72
Working Capital43.63B

Cash Flow

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Tencent Music Entertainment Group Sponsored ADR Class A produced 29.02B in operating cash flow over the twelve months ended June 30, 2026.

Operating Cash Flow29.02B
Free Cash Flow29.02B
FCF Per Share19.70

Margins

Over the twelve months ended June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A posted a gross margin of 44.32, reflecting its pricing power and cost economics. The operating margin of 29.73 and net profit margin of 26.28 provide insight into operational efficiency.

Gross Margin44.32
Operating Margin29.73
Pretax Margin32.78
Profit Margin26.28
EBITDA Margin33.10

Dividends & Yields

These figures cover the twelve months ended June 30, 2026. Free cash flow yield stands at 13.42, showing how much cash the business generates relative to its market value - dividends covered by free cash flow are generally more durable than those funded by debt. Total shareholder yield is negative at -5.86, meaning Tencent Music Entertainment Group Sponsored ADR Class A raised more capital through share issuance and new debt than it returned via dividends and buybacks.

Shareholder Yield-5.86
FCF Yield13.42

Scores

As of June 30, 2026, Tencent Music Entertainment Group Sponsored ADR Class A has an Altman Z-Score of 3.12, well above the 3.0 threshold that indicates strong financial health and minimal bankruptcy risk.

Altman Z-Score3.12