Tencent Holdings stock falls as Goldman Sachs cuts target

Published on 09/23/2026 at 12:44 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Tencent Holdings stock traded at HKD 425.80 on September 23, 2026, down 1.75 percent. Goldman Sachs cut its target to HKD 650 from HKD 670.

Tencent, KYG875721634, Illustration mit AI erstellt.

Tencent Holdings Ltd. (KYG875721634) traded at HKD 425.80 on the Hong Kong Stock Exchange on September 23, 2026, down 1.75 percent, as ET Net reported. Goldman Sachs cut its 12-month target for Tencent to HKD 650 from HKD 670, citing higher artificial-intelligence investment and the effect of recent equity financing.

Target cut meets fresh pressure

The HKD 20 reduction represents a 2.99 percent cut from the previous target. ET Net reported on September 23, 2026, that Goldman Sachs also reduced its second-half fiscal 2026 earnings-per-share expectation by as much as 5 percent because of the higher AI investment and dilution effects.

The market reaction was visible in the same session. ET Net listed Tencent at HKD 425.80, down 1.75 percent, while another intraday update showed the shares at HKD 442.00, down 2.13 percent at 2:00 p.m. Hong Kong time on September 23, 2026. These different intraday readings reflect different points in the trading session rather than two reference closes.

Second-quarter earnings remain measurable

Trading Economics lists Tencent's fiscal second quarter of 2026 at CNY 204.79 billion in sales revenue and CNY 7.43 earnings per share, compared with consensus EPS of CNY 7.39, on August 12, 2026. The EPS beat was CNY 0.04, or 0.54 percent, giving investors a concrete counterweight to the target cut.

The same data set reports pre-tax profit of CNY 75.39 billion for the available period. The comparison between the CNY 7.43 reported EPS and the CNY 7.39 consensus shows that the current debate is less about a missed quarterly estimate and more about the cost of funding AI expansion and the impact of equity issuance.

Buybacks add a separate support

AASTOCKS reported on September 23, 2026, that Tencent repurchased 223,000 shares on September 22. The transaction prices ranged from HKD 442.80 to HKD 450.80, while a separate report cited cumulative 2026 buybacks of HKD 30.8383 billion through that transaction.

That capital-return activity provides a measurable offset to the financing concern cited in the Goldman Sachs update. For investors, the key tension is therefore visible in two numbers: a target cut from HKD 670 to HKD 650 and a second-quarter EPS result of CNY 7.43 against CNY 7.39 consensus.

Stock trades below revised target

Tencent Holdings stock closed at HKD 425.80 on September 23, 2026, on the Hong Kong Stock Exchange, according to the cited intraday market report. The closing reference is 34.49 percent below Goldman Sachs' revised HKD 650 target, although the target is a forward estimate rather than a market valuation.