Stock Traders Purchase High Volume of Call Options on Tencent Music Entertainment Group (NYSE:TME)

Tencent Music Entertainment Group (NYSE:TME) saw unusually large options trading activity on Tuesday. Stock investors acquired 24,998 call options on the stock. This is an increase of approximately 787% compared to the average daily volume of 2,819 call options.

Tencent Music Entertainment Group Stock Performance

NYSE:TME opened at $11.27 on Thursday. The firm has a market capitalization of $19.34 billion, a PE ratio of 24.94, a PEG ratio of 0.76 and a beta of 0.65. The stock’s fifty day moving average is $11.66 and its 200 day moving average is $12.67. Tencent Music Entertainment Group has a fifty-two week low of $6.09 and a fifty-two week high of $15.77. The company has a debt-to-equity ratio of 0.09, a quick ratio of 2.34 and a current ratio of 2.34.

Tencent Music Entertainment Group (NYSE:TME) last released its earnings results on Tuesday, August 13th. The company reported $0.15 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.16 by ($0.01). The firm had revenue of $985.00 million during the quarter, compared to the consensus estimate of $1 billion. Tencent Music Entertainment Group had a return on equity of 10.11% and a net margin of 20.35%. On average, sell-side analysts anticipate that Tencent Music Entertainment Group will post 0.63 earnings per share for the current year.

Wall Street Analysts Forecast Growth

TME has been the topic of several recent analyst reports. Benchmark decreased their target price on Tencent Music Entertainment Group from $19.00 to $15.00 and set a “buy” rating on the stock in a research note on Wednesday, August 14th. Daiwa America downgraded shares of Tencent Music Entertainment Group from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 13th. Mizuho cut their target price on shares of Tencent Music Entertainment Group from $17.00 to $16.00 and set an “outperform” rating for the company in a research note on Wednesday, August 14th. Morgan Stanley cut shares of Tencent Music Entertainment Group from an “overweight” rating to an “equal weight” rating and decreased their price target for the stock from $15.00 to $13.00 in a research note on Wednesday. Finally, Daiwa Capital Markets lowered Tencent Music Entertainment Group from an “outperform” rating to a “neutral” rating in a research report on Tuesday, August 13th. Four investment analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $12.67.

Institutional Investors Weigh In On Tencent Music Entertainment Group

Large investors have recently added to or reduced their stakes in the stock. Cetera Investment Advisers grew its holdings in Tencent Music Entertainment Group by 10.8% during the 2nd quarter. Cetera Investment Advisers now owns 84,366 shares of the company’s stock worth $1,185,000 after acquiring an additional 8,216 shares in the last quarter. Creative Planning increased its holdings in Tencent Music Entertainment Group by 19.7% in the 2nd quarter. Creative Planning now owns 81,560 shares of the company’s stock worth $1,146,000 after buying an additional 13,421 shares during the period. Driehaus Capital Management LLC lifted its position in Tencent Music Entertainment Group by 37.0% during the second quarter. Driehaus Capital Management LLC now owns 7,129,342 shares of the company’s stock valued at $100,167,000 after purchasing an additional 1,925,124 shares during the period. SIH Partners LLLP purchased a new stake in shares of Tencent Music Entertainment Group in the second quarter worth about $282,000. Finally, Dorsey Wright & Associates purchased a new position in shares of Tencent Music Entertainment Group during the 2nd quarter valued at approximately $2,808,000. 24.32% of the stock is owned by hedge funds and other institutional investors.

About Tencent Music Entertainment Group

Tencent Music Entertainment Group operates online music entertainment platforms to provide music streaming, online karaoke, and live streaming services in the People's Republic of China. It offers QQ Music, Kugou Music, and Kuwo Music that enable users to discover music in personalized ways; long-form audio content, including audiobooks, podcasts and talk shows, as well as music-oriented video content comprising music videos, live performances, and short videos; and WeSing, which enables users to sing along from its library of karaoke songs and share their performances in audio or video formats with friends.