Tencent Holdings Limited (0700.HK)

DCF Valuation · Communication Services · Internet Content & Information

Valuation as at 2026-08-14

About Tencent Holdings Limited

Tencent Holdings Limited, an investment holding company, provides value-added services, marketing services, fintech, and business services in Mainland China and internationally. The company's consumers business includes communications and social services, such as instant messaging and social networks; digital content, including online games, videos, live streaming, news, music, and literature; fintech services, which include mobile payment, wealth management, consumer loans, and securities trading; and various tools comprising network security management, browsing, navigation, application management, email, etc. Its enterprise business comprises marketing solutions, which offer digital tools, including user insight, creative management, placement strategy, and digital assets management; and cloud services, such as cloud computing, big data analytics, artificial intelligence, Internet of Things, and security and other technologies for financial services, education, healthcare, retail, industry, transport, energy, and radio and television industries.

Source: Yahoo Finance company profile · factual description, not KashVector commentary

Tencent Holdings Limited 0700.HK

Communication Services · Internet Content & Information

Price
HK$440.60
Market Cap
HK$3970.78B
Free Cash Flow
HK$195.04B
Beta
1.00
P/E (TTM)
14.9x
52-Week Range
HK$411.00–HK$683.00

Tencent Holdings Limited's price & financial trends

Each card is labelled with its own reporting period — quarterly where Yahoo provides it for this market, annual otherwise.

Data as at 2026-08-14

Share price · last 2 years

HK$440.60 +15% vs 2024-08
Hang Seng Index HK$382.00HK$402.00HK$503.00HK$611.50HK$467.80HK$440.60 2024-082025-012025-062025-112026-042026-08

Earnings per share (diluted) Per quarter

HK$6.30 +23% vs Q1 '25
HK$5.13HK$6.00HK$6.78HK$6.28HK$6.30Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26

Free cash flow Per year

HK$190.17B +100% vs FY22
HK$95.24BHK$174.56BHK$162.47BHK$190.17BFY22FY23FY24FY25

Dividend per share Per year

HK$4.06 +204% vs FY22
HK$1.34HK$2.18HK$3.07HK$4.06FY22FY23FY24FY25

Value investing scale · Buffett · Dalio · Graham

Strong Fit
15 / 20 combined score

1 criterion had no data

See the full Buffett, Dalio & Graham breakdown for 0700.HK →

Intrinsic value estimate · 5-year forecast

BEAR
HK$291.71
vs current HK$440.60
-33.8% ❌ Overvalued
BASE
HK$384.82
vs current HK$440.60
-12.7% ⚠️ Fairly Valued
BULL
HK$519.77
vs current HK$440.60
+18.0% ⚠️ Fairly Valued

Assumptions used in this valuation

Every input below is either fetched live from Yahoo Finance or a documented default — nothing is hidden.

Starting free cash flow
HK$195.04B
Reported free cash flow (Yahoo)
Risk-free rate
3.50%
Fixed market seed
Beta
1.00
Floored for non-US stocks
Equity risk premium
6.00%
Market-specific seed
Cost of debt
4.10%
Synthetic rating AAA, ICR 18.5x
Tax rate
25.00%
Estimated default
Capital structure
E 88% / D 12%
Market cap vs total debt
Projection horizon
5 years
+ terminal value beyond
BearBaseBull
5-yr FCF growth3.2%6.4%9.6%
Terminal growth2.0%2.0%2.0%
WACC (discount rate)9.72%8.72%7.72%

Cost of Equity = Risk-free rate + Beta × Equity Risk Premium = 3.50% + 1.00 × 6.00% = 9.50% · WACC = weighted by 88%/12% capital structure

These numbers come from running Tencent Holdings Limited's cash flows through the mechanical DCF formula and assumptions above — not from any view on the news, management, or 0700.HK's competitive position. What is DCF?

Want to test your own growth or discount-rate assumptions?Open the full interactive calculator, pre-filled with 0700.HK →

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Not financial advice. DCF valuations are highly sensitive to assumptions — small changes in growth rate or discount rate produce large swings in output. This is a mechanical calculation, not a recommendation to buy, hold, or sell.

About this valuation

Computed on 2026-08-14 from Yahoo Finance data, using the same engine as the full DCF tool. Every figure above is a point-in-time snapshot of that date — change any assumption yourself in the interactive tool for a live one.

Frequently asked questions

Is Tencent Holdings Limited (0700.HK) undervalued?

The Base-case DCF estimates intrinsic value at HK$384.82 vs a price of HK$440.60 on 2026-08-14 — a -12.7% margin, so the Base case reads fairly valued. This is a mechanical output, not advice.