Tencent's Capex Could Reach Cny260 Billion in 2027
Dow Jones10-07 15:16
0716 GMT - Tencent's capital expenditure could rise to 260 billion yuan in 2027 from 210 billion yuan this year, say Macquarie analysts in a research note. Tencent's multilayer AI portfolio has delivered measurable gains in model capabilities and user adoption. However, the company's pre-payments for GPUs and components to support its AI initiatives will remain a near-term cost drag, they say.Macquarie expects slower games growth and tepid advertising and payment revenue in 3Q amid softer macro conditions. The bank maintains a neutral rating on Tencent and trims its target price to 435.00 Hong Kong dollars from HK$440.00. Shares last traded at HK$420.60.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments