Tencent Holdings Limited (0700.HK) stock analysis

In our weekly check, Tencent Holdings Limited is graded A (A to F). Of 25 checks on debt, profit, cash flow and trend: 22 pass, warnings: 1, red flags: 2.

About Tencent Holdings Limited

Tencent Holdings Limited is a Communication Services company (Internet Content & Information) based in China, listed on HKSE as 0700.HK.

What our checks show for 0700.HK

Red flags

• The net margin fell by 10.3 points over 5 years, to 29.8%: the company keeps less of each sale as profit.
• The stock has fallen as much as 73% from a peak. Would you have held through that?

Warning signs

• The stock is still below its previous peak.

Strengths

• Net debt is only 0.7x a year of EBITDA: the balance sheet has room.
• Operating profit covers interest 19.5 times over.
• The gross margin is 56.2% and has risen by 12.3 points: pricing power is holding.
• Operating cash flow is 1.3x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 10.8% a year over the next years.
• The company keeps 29.8% of its revenue as net profit.

Next earnings report: 2026-11-10

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Questions

What grade does Tencent Holdings Limited (0700.HK) have?

In our weekly check, Tencent Holdings Limited is graded A (A to F). Of 25 checks on debt, profit, cash flow and trend: 22 pass, warnings: 1, red flags: 2. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 0700.HK stock?

This week's biggest flags for Tencent Holdings Limited: Margins falling, Deep past fall, Slow recovery after falls. In total 3 of 25 checks show a warning or a red flag.

What does Tencent Holdings Limited do?

Tencent Holdings Limited is a Communication Services company (Internet Content & Information) based in China, listed on HKSE as 0700.HK.

When does Tencent Holdings Limited report earnings next?

The next earnings report is expected on 2026-11-10. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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