Chess Rush

Tencent (TCEHY) to Report Q3 Earnings: What’s in the Cards? – Nasdaq

Tencent Holdings TCEHY is about to report third-quarter 2019 outcomes on Nov 13.

For the quarter, the Zacks Consensus Estimate for earnings has been regular at 38 cents per share over the previous 30 days, indicating 26.7% development from the yr-in the past quarter’s reported determine.

The consensus mark for revenues at present stands at $13.86 billion, implying development of 17% from the determine reported in the yr-in the past quarter.

In the second quarter, the firm reported non-GAAP earnings of 36 cents per share that beat the Zacks Consensus Estimate by 2.9%.

However, revenues of $12.92 billion lagged the consensus mark of $13.28 billion.

Tencent Holding Ltd. Price and EPS Surprise

Tencent Holding Ltd. value-eps-shock | Tencent Holding Ltd. Quote

Let’s see how issues are shaping up for this announcement.

Key Factors to Watch

Tencent is considered one of the greatest sport distributors in China. The firm is predicted to have benefited from its dominance in the nation, which is the world’s largest online game market in phrases of customers and revenues. However, stringent rules are anticipated to have harm the consumer base.

Nevertheless, persevering with momentum for Honor of Kings and Perfect World Mobile is predicted to have pushed the high line. Further, since its launch in May, Peacekeeper Elite exceeded 50 million DAU at the finish of the second quarter and the momentum probably continued in the third quarter. The high line is predicted to mirror DAU development together with season move providing.

Moreover, a strong gaming portfolio is a key catalyst. In July, Tencent launched three smartphone video games — racing sport KartRider Rush, technique sport Game of Thrones: Winter is Coming and RPG Dragon Raja.

Additionally, the worldwide consumer base is predicted to have expanded in the to-be-reported quarter, courtesy of PUBG MOBILE and new video games resembling Speed Drifter and Chess Rush.

Also, development in digital content material revenues, owing to video streaming subscriptions and reside broadcast companies, is predicted to have aided social community revenues.

Further, momentum in cloud companies is predicted to have continued owing to quick penetration into key sectors, together with finance. This is predicted to have pushed FinTech and Business Services revenues in the to-be-reported quarter.

What Our Model Says

According to the Zacks mannequin, an organization with a constructive Earnings ESP together with a Zacks Rank #1 (Strong Buy), 2 (Buy) or three (Hold) has a very good probability of beating estimates. But that’s not the case right here.

Tencent has a Zacks Rank #four (Sell) and an Earnings ESP of -2.63%. You can uncover the finest shares to purchase or promote earlier than they’re reported with our Earnings ESP Filter.

Stocks With Favorable Combination

Here are some corporations, which, per our mannequin, have the proper mixture of parts to submit an earnings beat this quarter:

Twin River Worldwide Holdings TRWH has an Earnings ESP of +13.25% and a Zacks Rank #2. You can see the full record of as we speak’s Zacks #1 Rank shares right here.

Viacom VIAB has an Earnings ESP of +13.38% and a Zacks Rank #three.

Momo MOMO has an Earnings ESP of +three.94% and a Zacks Rank #three.

5 Stocks Set to Double

Each was hand-picked by a Zacks skilled as the #1 favourite inventory to achieve +100% or extra in 2020. Each comes from a distinct sector and has distinctive qualities and catalysts that might gas distinctive development.

Most of the shares in this report are flying below Wall Street radar, which offers a terrific alternative to get in on the floor ground.

Today, See These 5 Potential Home Runs >>

Click to get this free report

Viacom Inc. (VIAB): Free Stock Analysis Report

Tencent Holding Ltd. (TCEHY): Free Stock Analysis Report

Momo Inc. (MOMO): Free Stock Analysis Report

Twin River Worldwide Holdings, Inc. (TRWH): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the creator and don’t essentially mirror these of Nasdaq, Inc.



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