To The Moon

According to Zhitong Finance APP, Morgan Stanley has issued a research report stating that Tencent (00700) released the official version of its Hunyuan Hy4 model yesterday, which features broader vision and computer operation capabilities. The bank maintains an "Overweight" rating with a target price of HK$550.

The report notes that Tencent Hunyuan has achieved significant improvements across various comprehensive capabilities including instruction following, long-text comprehension, long-horizon tasks, and deep research. It has also added vision and computer operation capabilities, allowing it to process image details, complex charts, and visual mathematics, as well as operate computers through graphical interfaces and command lines.

The bank states that Hy4 demonstrates substantial improvements in real-world productivity performance, leading domestic models in office collaboration and scoring highly in financial scenarios. It notes that Hy4 API pricing remains unchanged, with cached input, uncached input, and output tokens priced at RMB 0.3, RMB 6, and RMB 18 per million tokens respectively. Tencent plans to open-source the model weights soon and expand training scale to narrow the gap with closed-source models.

Tencent also plans to launch a faster, lower-cost Hy4 Flash. The bank believes that broader adoption of WorkBuddy across industries, along with deeper integration with WeCom and Buddy One, will help strengthen the feedback loop, accelerate model iteration, and support enterprise AI applications.