Morgan Stanley cuts target for Tencent Holdings stock to HKD 650.00
Published on 10/02/2026 at 16:29 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS
Tencent Holdings Ltd. stock (ISIN KYG875721634) was trading at EUR 47.52 at Lang & Schwarz on October 2, 2026 at 4:12 p.m. CEST, down 1.49 percent versus the prior close of EUR 48.24. Morgan Stanley cut its Tencent target from HKD 735.00 to HKD 650.00 on September 29, 2026, according to GMT EIGHT, citing higher investment in artificial intelligence products and GPUs.
AI spending resets the valuation debate
The target reduction puts capital intensity at the center of the Tencent debate. Morgan Stanley said Tencent's non-IFRS operating profit estimates for 2026 and 2027 were reduced by 6.00 percent to 7.00 percent as AI investment rises, while the bank maintained its overweight rating, GMT EIGHT reported on September 29, 2026. The change does not erase the growth opportunity, but it raises the cost of reaching it.
Tencent's investor page dates its second-quarter 2026 results announcement to August 12, 2026, Tencent states. The reporting period ended June 30, 2026.
Revenue growth funds the AI push
In the second quarter of 2026, revenue rose 11.00 percent year over year to RMB 204.8 billion, while non-IFRS net profit attributable to equity holders increased 9.00 percent to RMB 68.4 billion, according to Yahoo Finance. The comparison shows that Tencent's core earnings still expanded while management accelerated spending on new AI products.
Operating capital expenditure reached RMB 51.8 billion in the second quarter, up 190.00 percent year over year. Non-IFRS operating profit excluding new AI products rose 19.00 percent to RMB 86.1 billion, compared with 9.00 percent growth including those products, according to Yahoo Finance. That gap quantifies the near-term earnings cost of the AI buildout.
Hong Kong listing and next results date
Tencent trades on the Hong Kong Stock Exchange under ticker 0700, and its quotation currency is HKD, according to Investing.com. The next earnings date listed by the same source is November 10, 2026.
The primary-exchange quote was HKD 421.20 on October 2, 2026 at 4:08 p.m. HKT, while the 52-week range was HKD 411.00 to HKD 682.50. Market capitalization stood at HKD 3.8 trillion on October 2, 2026.
EUR 47.52 marks the trading reference
At Lang & Schwarz, Tencent stock was trading at EUR 47.52 on October 2, 2026 at 4:12 p.m. CEST, down 1.49 percent versus the Lang & Schwarz prior close of EUR 48.24. The further course of trading is shown by the continuously updated real-time quote of Tencent Holdings stock.
Tencent Holdings stock facts
- Company: Tencent Holdings Limited
- ISIN: KYG875721634
- Ticker: 0700
- Primary exchange: Hong Kong Stock Exchange
- Price Lang & Schwarz (as of October 2, 2026, 4:12 p.m. CEST): EUR 47.52
- Change versus prior close: minus 1.49 percent
- Prior close Lang & Schwarz (October 1, 2026): EUR 48.24
- Market capitalization: HKD 3.8 trillion (as of October 2, 2026)
- 52-week range: HKD 411.00-682.50 (as of October 2, 2026)
- Sector / Industry: Communication Services / Internet Content and Information
- Next earnings date: November 10, 2026
