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TME, Tencent Music Entertainment Group

Media & Broadcasting capital-intensive

Revenue is Online Music Services (77%) and Social Entertainment Services and Others (23%).

Latest annual: FY2024 20-F · figures as filed, in CNY · 1 ADS = 2 ordinary shares

TME · Tencent Music Entertainment Group

The business

What it sells, where the money comes from, the kind of company it is.

Revenue · FY2024

CN¥28.4B

+2.3% YoY · 2% 5-yr CAGR

Vital signs · TTM, with 5-yr average

Revenue CN¥28.4B 5-yr avg CN¥29.0B

Gross margin 42% 5-yr avg 34%

Operating margin 30.7% 5-yr avg 19.3%

ROIC 13% 5-yr avg 12%

Owner-earnings margin 35% 5-yr avg 24%

Free cash flow margin 35% 5-yr avg 24%

The business in brief

What this business is and what moves its needle, from its own SEC filings.

What it is: A capital-intensive business, run on heavy physical assets that must be kept working and earn a return above what they cost to maintain.
What moves the needle: Gross margin has run about 34% and operating margin about 16% through the cycle, a solid spread between what it charges and what the product costs to make. The operating margin has swung widely — from 2.4% to 31% — on a steadier 34% gross margin, so what moves it sits below the gross line, in operating spend and one-off charges more than in the cost of the product itself. The cash cycle has run negative through the cycle (a median of −30 days): the operation is paid before it pays, so working capital releases cash as the business grows rather than tying it up.
Is it a good business?: Return on capital has sat near the cost of capital (median 10%). By owner earnings: roughly 24% of revenue reaches owners as cash, consistently, and customers and suppliers fund the business through negative working capital. This is price-taker territory, where the balance sheet and the cycle matter more than any multiple; the rest is in the 10-K.

Every line is arithmetic on the company's filings, shown in full in the sections below.

Where the money comes from

read the 20-F →

Online Music Services is 77% of revenue, with Social Entertainment Services And Others the other meaningful line at 23%.

Revenue by product line, FY2024

Online Music Services77%CN¥21.7B
Social Entertainment Services And Others23%CN¥6.7B

From the segment footnote of the company's own 20-F. Shares are of total revenue; the profit bar shows each segment's share of segment operating profit, before unallocated corporate costs.

The record

Ten years of arithmetic, read across the cycle.

The record, 2016–2024

realized figures from each filing · older years to the left

2016’16	2017’17	2018’18	2019’19	2020’20	2021’21	2022’22	2023’23	2024’24	TTMTTMDec 2024
										Income statement
CN¥4.4B	CN¥11.0B	CN¥19.0B	CN¥25.4B	CN¥29.2B	CN¥31.2B	CN¥28.3B	CN¥27.8B	CN¥28.4B	CN¥28.4B	RevenueRevenue
28%	35%	38%	34%	32%	30%	31%	35%	42%	42%	Gross marginGross mgn
CN¥103M	CN¥1.6B	CN¥2.0B	CN¥4.6B	CN¥4.7B	CN¥3.8B	CN¥4.4B	CN¥6.1B	CN¥8.7B	CN¥8.7B	Operating incomeOp. inc.
2.4%	14.5%	10.7%	18.2%	16.2%	12.2%	15.7%	21.8%	30.7%	30.7%	Operating marginOp. mgn
CN¥82M	CN¥1.3B	CN¥1.8B	CN¥4.0B	CN¥4.2B	CN¥3.0B	CN¥3.7B	CN¥4.9B	CN¥6.6B	CN¥6.6B	Net incomeNet inc.
26%	17%	9%	12%	10%	12%	13%	14%	19%	19%	Effective tax rateTax rate
										Cash flow & returns
CN¥873M	CN¥2.5B	CN¥5.6B	CN¥6.2B	CN¥4.9B	CN¥5.2B	CN¥7.5B	CN¥7.3B	CN¥10.3B	CN¥10.3B	Operating cash flowOp. cash
CN¥236M	CN¥379M	CN¥369M	CN¥583M	CN¥824M	CN¥1.0B	CN¥1.2B	CN¥1.0B	CN¥978M	—	DepreciationDeprec.
CN¥555M	CN¥795M	CN¥3.4B	CN¥1.6B	(CN¥94M)	CN¥1.2B	CN¥2.6B	CN¥1.4B	CN¥2.7B	CN¥3.6B	Working capital & otherWC & other
CN¥41M	CN¥75M	CN¥132M	CN¥95M	CN¥108M	CN¥159M	CN¥85M	CN¥165M	CN¥319M	CN¥319M	CapexCapex
0.9%	0.7%	0.7%	0.4%	0.4%	0.5%	0.3%	0.6%	1.1%	1.1%	Capex / revenueCapex/rev
CN¥832M	CN¥2.4B	CN¥5.5B	CN¥6.1B	CN¥4.8B	CN¥5.1B	CN¥7.4B	CN¥7.2B	CN¥10.0B	CN¥10.0B	Owner earningsOwner earn.
19.1%	22.1%	29.0%	24.0%	16.4%	16.3%	26.1%	25.8%	35.1%	35.1%	Owner earnings marginOE mgn
CN¥832M	CN¥2.4B	CN¥5.5B	CN¥6.1B	CN¥4.8B	CN¥5.1B	CN¥7.4B	CN¥7.2B	CN¥10.0B	CN¥10.0B	Free cash flowFCF
19.1%	22.1%	29.0%	24.0%	16.4%	16.3%	26.1%	25.8%	35.1%	35.1%	Free cash flow marginFCF mgn
—	—	—	—	—	CN¥0	CN¥0	—	CN¥1.5B	CN¥1.5B	Dividends paidDiv. paid
—	—	—	—	CN¥134M	CN¥3.5B	CN¥3.1B	CN¥1.2B	CN¥1.9B	—	BuybacksBuybacks
0%	6%	9%	14%	10%	—	—	—	13%	13%	ROICROIC
0%	5%	5%	9%	8%	6%	8%	9%	10%	10%	Return on equityROE
—	—	—	—	—	6%	8%	—	8%	8%	Retained to equityRetained/eq
										Balance sheet
CN¥3.1B	CN¥5.2B	CN¥17.4B	CN¥15.4B	CN¥11.1B	CN¥6.6B	CN¥9.6B	CN¥13.6B	CN¥13.2B	CN¥13.2B	Cash & investmentsCash+inv
—	CN¥1.2B	CN¥1.5B	CN¥2.2B	CN¥2.8B	CN¥3.6B	CN¥2.7B	CN¥2.9B	CN¥3.5B	CN¥3.5B	ReceivablesReceiv.
—	CN¥30M	CN¥35M	CN¥26M	CN¥18M	CN¥24M	CN¥14M	CN¥8M	CN¥23M	CN¥23M	InventoryInvent.
—	CN¥1.0B	CN¥1.8B	CN¥2.6B	CN¥3.6B	CN¥4.3B	CN¥5.0B	CN¥5.0B	CN¥6.9B	CN¥6.9B	Accounts payablePayables
—	CN¥146M	(CN¥312M)	(CN¥335M)	(CN¥747M)	(CN¥695M)	(CN¥2.3B)	(CN¥2.1B)	(CN¥3.3B)	(CN¥3.3B)	Operating working capitalOper. WC
—	CN¥7.5B	CN¥20.8B	CN¥26.9B	CN¥31.7B	CN¥26.8B	CN¥26.6B	CN¥29.9B	CN¥34.5B	CN¥34.5B	Current assetsCur. assets
—	CN¥3.5B	CN¥6.2B	CN¥8.5B	CN¥9.6B	CN¥10.4B	CN¥11.7B	CN¥12.0B	CN¥16.6B	CN¥16.6B	Current liabilitiesCur. liab.
—	2.1×	3.3×	3.2×	3.3×	2.6×	2.3×	2.5×	2.1×	2.1×	Current ratioCurr. ratio
CN¥15.8B	CN¥16.3B	CN¥17.1B	CN¥17.1B	CN¥17.5B	CN¥19.1B	CN¥19.5B	CN¥19.5B	CN¥19.6B	CN¥19.6B	GoodwillGoodwill
—	CN¥30.0B	CN¥44.6B	CN¥52.7B	CN¥68.3B	CN¥67.3B	CN¥67.0B	CN¥75.5B	CN¥90.4B	CN¥90.4B	Total assetsAssets
(CN¥3.1B)	(CN¥5.2B)	(CN¥17.4B)	(CN¥15.4B)	(CN¥11.1B)	(CN¥6.6B)	(CN¥9.6B)	(CN¥13.6B)	(CN¥13.2B)	(CN¥13.2B)	Net debt / (cash)Net debt
—	—	58.3×	72.2×	48.6×	31.4×	41.1×	43.0×	92.7×	92.7×	Interest coverageInt. cov.
CN¥20.6B	CN¥26.1B	CN¥37.7B	CN¥43.6B	CN¥52.2B	CN¥50.3B	CN¥48.1B	CN¥55.9B	CN¥67.9B	CN¥67.9B	Shareholders’ equityEquity
										Per share
1.83B	2.59B	3.08B	3.27B	3.31B	3.32B	3.20B	3.12B	3.08B	3.08B	Shares out (diluted)Shares
CN¥2.38	CN¥4.23	CN¥6.17	CN¥7.77	CN¥8.80	CN¥9.41	CN¥8.84	CN¥8.89	CN¥9.21	CN¥9.21	Revenue / shareRev/sh
CN¥0.04	CN¥0.51	CN¥0.60	CN¥1.22	CN¥1.25	CN¥0.91	CN¥1.15	CN¥1.58	CN¥2.15	CN¥2.15	EPS (diluted)EPS
CN¥0.45	CN¥0.94	CN¥1.79	CN¥1.87	CN¥1.44	CN¥1.53	CN¥2.31	CN¥2.30	CN¥3.23	CN¥3.23	Owner earnings / shareOE/sh
CN¥0.45	CN¥0.94	CN¥1.79	CN¥1.87	CN¥1.44	CN¥1.53	CN¥2.31	CN¥2.30	CN¥3.23	CN¥3.23	Free cash flow / shareFCF/sh
—	—	—	—	—	CN¥0.00	CN¥0.00	—	CN¥0.49	CN¥0.49	Dividends / shareDiv/sh
CN¥0.02	CN¥0.03	CN¥0.04	CN¥0.03	CN¥0.03	CN¥0.05	CN¥0.03	CN¥0.05	CN¥0.10	CN¥0.10	Cap. spending / shareCapex/sh
CN¥11.27	CN¥10.08	CN¥12.26	CN¥13.32	CN¥15.77	CN¥15.15	CN¥15.01	CN¥17.91	CN¥22.00	CN¥22.00	Book value / shareBVPS

The diluted share count moved ×1.42 into 2017 — shares issued, not a split the totals corroborate — and the per-share figures carry the counts as filed.

Per-share growththe realized rate an owner's share compounded

	8-yr	5-yr
Revenue / share	+18.4%/yr	+3.5%/yr
Owner earnings / share	+27.8%/yr	+11.6%/yr
EPS	+62.3%/yr	+12.1%/yr
Capital spending / share	+21.1%/yr	+28.9%/yr
Book value / share	+8.7%/yr	+10.6%/yr

The record, charted

FY2016–2024

Each measure over its full record; the current point and the worst year marked.

Share count

3.1Bpeak FY2021

ROIC

13%low FY2016

Gross margin

42%low FY2016

Owner earnings vs. net income

Owner earningsNet income

The accountant's number, and the cash an owner can take; the gap is the tell.

CN¥10.0Bowner earningsvs.CN¥6.6Bnet incomelow FY2016

Where the cash went

ReinvestBuybacksDividendsAcquisitionsRetained

Each year's operating cash, by what management did with it: the mix, and how it drifts.

FY2016FY2024

Owner-earnings bridge

FY2020–FY2024cash-flow statement, SEC EDGAR →

Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.

In fiscal 2024 the business turned CN¥6.6B of profit into CN¥10.0B of owner earnings: more cash than the profit line showed, after the non-cash charges and the capital it put back in.

Reported net incomeCN¥6.6B

Owner earningsCN¥10.0B · 35% of revenue

	FY2024	FY2023	FY2022	FY2021	FY2020
Reported net income	CN¥6.6B	CN¥4.9B	CN¥3.7B	CN¥3.0B	CN¥4.2B
Depreciation & amortizationnon-cash charge added back	+CN¥978M	+CN¥1.0B	+CN¥1.2B	+CN¥1.0B	+CN¥824M
Working capital & othertiming of cash in and out, other non-cash items	+CN¥2.7B	+CN¥1.4B	+CN¥2.6B	+CN¥1.2B	−CN¥94M
Cash from operations	CN¥10.3B	CN¥7.3B	CN¥7.5B	CN¥5.2B	CN¥4.9B
Capital expenditurecash put back in to keep running and to grow	−CN¥319M	−CN¥165M	−CN¥85M	−CN¥159M	−CN¥108M
Owner earnings	CN¥10.0B	CN¥7.2B	CN¥7.4B	CN¥5.1B	CN¥4.8B
Owner-earnings marginowner earnings ÷ revenue	35%	26%	26%	16%	16%

Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position .

Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.

III

Quality & stewardship

Returns, the balance sheet, capital allocation, and pay.

Owner’s Scorecard

FY2024 20-F · source on SEC EDGAR →

Will it survive?

Can it pay its interest? 92.7×

Comfortable

Operating income CN¥8.7B ÷ interest expense CN¥94M

What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
How heavy is the debt, net of cash? +CN¥13.2B

Net cash, debt-free

Cash CN¥13.2B − debt CN¥0

What this means
Cash and short-term investments exceed every dollar of debt by CN¥13.2B, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
How long is cash tied up? -108d

Negative, funded by others

DSO 45 + DIO 1 − DPO 153 days

What this means
Days cash is tied up between paying suppliers and collecting from customers. A negative cycle is a quiet moat: suppliers and customers fund the operation (Buffett's “float”), the company grows on other people's money.

Is it a good business?

Return on invested capital —

Not enough data

Industry peers: median 5%

What this means
The filing data didn't include the inputs for this check.
Owner-earnings margin 24%

High through the cycle

9-yr median margin, range 16%–35%; latest CN¥10.0B = operating cash CN¥10.3B − maintenance capex CN¥319M

Industry peers: median 13%

What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 35% of revenue this year, a 24% median across 9 years.
Are earnings backed by cash? 1.55×

Cash-backed

Cash from ops CN¥10.3B ÷ net income CN¥6.6B

What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.

How is the cash used?

Where do the earnings go? 34%

Reinvests most of it

Dividends + buybacks CN¥3.4B ÷ Owner Earnings CN¥10.0B

What this means
Of CN¥10.0B Owner Earnings, CN¥3.4B (34%) went back to shareholders, CN¥1.5B dividends, CN¥1.9B buybacks. Returning most of it is the mark of a mature business with little left to reinvest at a high return; reinvesting most could mean a long runway, or empire-building. The split doesn't say which; the return earned on it (see ROIC) does.
Investing or harvesting? 0.33×

Harvesting

Capex CN¥319M ÷ depreciation CN¥978M

What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.

Graham’s defensive tests · 3 of 4 met

Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.

Adequate size —

Revenue ≥ $2B (a dollar floor) · CN¥28.4B

What this means
Big enough to weather a storm. Graham's floor is a dollar figure — about $2B of revenue as a conservative modern stand-in. This company reports in its home currency and we carry no exchange rate, so we show the figure and leave the size bar for you to apply rather than convert it with a number we don't have.
Strong liquidity Pass

Current ratio ≥ 2× · 2.09×

What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
Earnings stability Pass

A profit every year (9-yr record) · no losses

What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
Dividend record Miss

Uninterrupted dividends · 1 of 9 yrs

What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
Earnings growth Pass

Earnings +33% over the record · +370%

What this means
At least a third more earnings than a decade ago, averaging three years at each end. Net income (not per-share), so stock splits don't distort it, buybacks and dilution show up in the share-count line instead.
Moderate price —

P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price

What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are CN¥1.61/share (latest year CN¥2.11), the averaged base the calculator's gate runs on, and book value is CN¥21.56/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.

Durability & moat, 2016–2024

Whether the record’s returns held, and what the capital reinvested earned.

Profitable years 9 of 9

What this means
Never lost money over the record, the earnings stability Graham insisted on.
Operating margin 9% → 23% (3-yr avg ends)

What this means
Through the cycle the operating margin widened — about 9% early to 23% lately, median 16% — pricing power intact or improving.
Owner earnings growth +23%/yr

What this means
Owner earnings grew about 23% a year over the record.
Worst year 2016 · 2.4% op. margin

What this means
Stayed profitable even in its hardest year, the resilience that survives recessions.
Share count +6.7%/yr

What this means
The share count is rising, dilution works against you on a per-share basis.
Dividend record paid

What this means
Paid a dividend in 1 of the years on record.

Does AI threaten the moat?

Low contestability

The moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.

AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat.

Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.

All figures as filed; the source filing is linked above.

Current Position

as of fiscal year-end, Dec 31, 2024

Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.

Current assetsCN¥34.5B

Cash & short-term investmentsCN¥13.2B
ReceivablesCN¥3.5B
InventoryCN¥23M
Other current assetsCN¥17.8B

Current liabilitiesCN¥16.6B

Accounts payableCN¥6.9B
Other current liabilitiesCN¥9.7B

Current ratio2.09×all current assets ÷ what's due · Graham looked for 2×

Quick ratio2.09×stricter: inventory excluded

Cash ratio0.80×strictest: cash alone against what's due

Working capitalCN¥18.0Bthe cushion left after near-term bills

Deeper floors

Tangible book valueCN¥46.2Bequity stripped of goodwill & intangibles

Net current asset valueCN¥13.8BGraham's net-net: current assets less all liabilities

Debt incl. operating leasesCN¥97MCN¥97M of it operating leases

Deferred revenueCN¥3.1Bcustomer cash collected before delivery; operating float

From the company's latest filing.

How the cash was used, 2016–2024

Over the record, the business generated CN¥50.4B of operating cash; how management split it reads as a balanced allocator, splitting cash between the business, owners, and the balance sheet.

ReinvestedCN¥1.2B · 2%
DividendsCN¥1.5B · 3%
BuybacksCN¥9.9B · 20%
Retained (debt / cash)CN¥37.8B · 75%

Returned to ownersCN¥11.4B
23% of the owner earnings the business produced over the span, CN¥1.5B as dividends and CN¥9.9B as buybacks.
Source of fundingOperating cash
Operating cash covered reinvestment and returns; over the span cash and short-term investments rose CN¥10.1B.
Average price paid for buybacks—
Buybacks ran CN¥9.9B over the span, but the filings don't tag the share count needed to deduce the average price paid.
Net change in share count68.4%
The diluted count rose from 1832M to 3084M: issuance (stock pay, deals) outran any buybacks, so owners were diluted on net.
Dividend recordCN¥0.49/sh
Paid in 1 of the years on record. It was never cut over the span.
Return on what it retained29%
Of the earnings it kept rather than paid out (CN¥18.2B over the span), annual owner earnings (first three years vs last three) grew CN¥5.3B, so each retained CN¥1 added about 0.29 of yearly owner earnings. Buffett's test, run on owner earnings instead of market value.

Buybacks are gross of stock issued to staff; the share-count line above is the net of that, the figure that decides whether owners gained. The average price paid blends a year of purchases (and any accelerated repurchase), so it is close, not exact. The record of where the cash went and on what terms.

Acquisitions & goodwill

from the balance sheet & the 9-year cash-flow record

Goodwill grows only when a company acquires and falls only when it concedes it overpaid. The size of that bet, the cash put into buying rather than building, and how much has already been written off.

Goodwill & intangiblesCN¥21.7B24% of all assets; the premium carried on the balance sheet for businesses acquired

Against book equity29%goodwill is this share of book equity; the rest is the company’s own retained and paid-in capital

Cash spent acquiringCN¥0over 9 years buying other businesses, against CN¥1.2B of capital spent building

None written down over the record; the goodwill is still carried at full cost. That is the deals holding their value on the books so far; whether they keep doing so is the test an owner watches, since the write-down, when it comes, is the admission the price was too high.

Goodwill, acquired intangibles and equity from the latest balance sheet; acquisition spend and write-downs summed across the 9-year record, from the company's own filings.

Inverting the record

Invert: instead of why Tencent Music Entertainment Group is a good business, the question is what would make owning it a mistake, and whether those marks are in the record. Disconfirming tests across 2016–2024.

1 of the 3 tests turned up something to look into; the other 2 came back clean.

Look hereDid the share count rise anyway?68.4%
Diluted shares grew 68.4% over 2016–2024, even as the company spent CN¥9.9B on buybacks. The repurchases were outrun by issuance — to staff, in a raise, or in a deal — and the filing says which; owners' slice still shrank. Read the buyback line beside this one, not on its own.

And these came back clean

Is it less profitable than it was?
Did reported profit become cash?

Each test is read from the filings and is noisy alone; a flag can mark a cyclical trough or a year of heavy investment as easily as a problem. The filing says which.

Peers, Media & Broadcasting

The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.

Company	Revenue	Gross margin	Op. margin	ROIC	Owner earn. margin
WBDWarner Bros. Discovery, Inc.	$37.3B	63%	13.4%	5%	20%
PARAParamount Global	$29.2B	—	17.8%	13%	6%
PSKYParamount Skydance Corporation	$29.2B	—	-18.0%	-19%	2%
TMETencent Music Entertainment Group	CN¥28.4B	34%	15.7%	10%	24%
FOXFox Corporation	$16.3B	—	20.9%	13%	15%
ECHOEchoStar Corporation	$15.0B	99%	3.0%	1%	13%
SIRISiriusXM Holdings Inc.	$8.6B	100%	21.2%	17%	20%
IHRTiHeartMedia Inc.	$3.9B	—	2.9%	-1%	2%
Group median	—	81%	14.6%	7%	14%

The price

What a price has to assume.

What the price implies

reverse-DCF

Enter the US price, in dollars: the NYSE/Nasdaq quote you hold. Per the filing's own cover, “American depositary shares, each ADS represents two Class”; Tencent Music Entertainment Group reports in CNY, so every figure in this tool is stated per ADS and translated at CNY 1 = $0.147 (2026-07-17, reference rate) so your dollar quote reconciles exactly. The record tables elsewhere on this page remain as filed, in CNY.

Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what Tencent Music Entertainment Group has delivered.

Tencent Music Entertainment Group’s latest year runs above its own through-cycle margin — the reported figure may flatter a peak. So the tool opens on the through-cycle base, Graham’s averaging cutting both ways; clear the toggle below to read the latest year exactly as reported.

Today’s price $

Through the cycle, Tencent Music Entertainment Group earns about $1.0B on its 24.0% median owner-earnings margin. This year’s 35.1% margin runs above that; the reported figure may flatter a peak you'd be paying on. Normalize, below, values the price on that through-cycle figure rather than the latest year. It comes pre-checked here for that reason, the same rule that already normalizes a trough; clear it to price the year as filed.

Base Normalize · through-cycle ($1.0B) Net of stock comp

—

The assumptions Required return 9% Years of high growth 10 Terminal growth 2.5%

9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.

Enter a price above to run it.

Implied by the price—

Owner-earnings growth · ’20→’24+15%/yr

Owner-earnings growth · ’16→’24+23%/yr

Owner-earnings yield—

P/E (3-yr earnings ’22–’24)—

P/B—

Graham’s price gate—

Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.

Against a high-grade bond: Graham’s yardstick bond yield%

Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.

Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.

Owner earnings $1.5B on 1574M shares outstanding, per the 20-F cover, as of 2025-12-31; net cash $1.9B. The base opens on the through-cycle figure (the latest year sits above the record’s own median, and Graham’s averaging cuts both ways); clear Normalize to use the year as filed. Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.

Weigh TME against another business →

Cite: Owner Scorecard, "Tencent Music Entertainment Group (TME), the owner's record," https://ownerscorecard.com/c/TME, data as of 2026-07-09.

Manual order: ← TM its page in the Manual TNK →

Industry order: ← SPOT the Media & Broadcasting chapter TV →