Overseas Chinese Equities, Aequitas Research

Ming Lu

Overseas Chinese Equities

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Bottom-Up

<ul>
<li>In 2Q25, game revenue increased by 22% YoY and FinTech revenue growth reached two digits.</li>
<li>The operating margin improved to 34.5% in 2Q25 compared to 30.6% in 2Q24.</li>
<li>The 10-year P/E band suggests an upside of 22.5% and a target price of HK$718 for year end 2025.</li>
</ul>


In 2Q25, game revenue increased by 22% YoY and FinTech revenue growth reached two digits.
The operating margin improved to 34.5% in 2Q25 compared to 30.6% in 2Q24.
The 10-year P/E band suggests an upside of 22.5% and a target price of HK$718 for year end 2025.


Tencent (700 HK): 2Q25, Game Revenue Up by 22%, FinTech Back to 2 Digits

Derivatives and Quantitative Strategist

Gaudenz Schneider

Event-Driven

<ul>
<li>
Context: <a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent (700 HK)</a>is set to release Q2 earnings on 13 August 2025, 8:00pm HK time. The stock is in a low-volatility phase, but options traders are watching closely.</li>
<li>
Highlight: Option prices imply a post-earnings move near the top of Tencent’s historical range.</li>
<li>
Why Read: Gain insight into how historic patterns and option pricing shape risk and opportunity ahead of Tencent’s earnings release.</li>
</ul>



Context: Tencent (700 HK)is set to release Q2 earnings on 13 August 2025, 8:00pm HK time. The stock is in a low-volatility phase, but options traders are watching closely.

Highlight: Option prices imply a post-earnings move near the top of Tencent’s historical range.

Why Read: Gain insight into how historic patterns and option pricing shape risk and opportunity ahead of Tencent’s earnings release.


Tencent (700 HK) Earnings on 13 Aug: Patterns, Pricing, and Possibilities

Equity Derivatives

<ul>
<li>
<a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent (700 HK)</a> has surged 33.5% over the past 30 days, with its spot price outpacing the slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money.</li>
<li>The current concentration of in-the-money calls hints at active trading and potential strike adjustments ahead, amplified by upcoming events like the 19 March earnings.</li>
<li>This analysis features a novel animated chart of option open interest distribution offering a dynamic visual of market behavior.</li>
</ul>



Tencent (700 HK) has surged 33.5% over the past 30 days, with its spot price outpacing the slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money.
The current concentration of in-the-money calls hints at active trading and potential strike adjustments ahead, amplified by upcoming events like the 19 March earnings.
This analysis features a novel animated chart of option open interest distribution offering a dynamic visual of market behavior.


Tencent (700 HK) - Surging Price, Strikes, and Volatility. A Novel Look with an Animated Chart

Equity Derivatives and Volatility Specialist, Clifton Derivatives

John Ley

Equity Derivatives and Volatility Specialist

Clifton Derivatives

Independent derivative and volatility research firm focusing on events/catalysts, earnings, relative value and cross asset volatility strategies.

<ul>
<li>Tencent approaches earnings with low volatility and steady outperformance versus HSI.</li>
<li>Volatilities are historically low with an earnings release on tap.  </li>
<li>Options market expects a modest move despite recent Tencent momentum.</li>
</ul>


Tencent approaches earnings with low volatility and steady outperformance versus HSI.
Volatilities are historically low with an earnings release on tap.  
Options market expects a modest move despite recent Tencent momentum.


Tencent (700.HK) Q2 Earnings: Rally Into Earnings on Historically Low Volatility

<ul>
<li>We believe game revenue will continue to recover in 2Q25, riding on the policy easing.</li>
<li>We also believe the operating margin will improve slightly due to the usage of AI.</li>
<li>We expect the stock has an upside of 23% for year end 2025.</li>
</ul>


We believe game revenue will continue to recover in 2Q25, riding on the policy easing.
We also believe the operating margin will improve slightly due to the usage of AI.
We expect the stock has an upside of 23% for year end 2025.


Tencent (700 HK): 2Q25 Preview, Game Up by 16%

China

Tencent Holdings Limited operates as an investment holding company. The Company, through its subsidiaries, provides Internet and mobile value-added services (VAS), online advertising, and e-commerce transactions. Tencent Holdings offers services to users worldwide.

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Tencent (700 HK)

Tencent (700 HK): 2Q25, Game Revenue Up by 22%, FinTech Back to 2 Digits

The difference suggests an upside of 22.5% and a target price of HK$718 for year end 2025. The operating margin improved to 34.5% in 2Q25 compared...

Ming Lu

Tencent (700 HK) Earnings on 13 Aug: Patterns, Pricing, and Possibilities

Tencent (700 HK) reports tomorrow, Wednesday, 13 August 2025, 8:00pm HK. The stock traded sideways over the past four days. Historic move on...

Gaudenz Schneider

Tencent (700 HK) - Surging Price, Strikes, and Volatility. A Novel Look with an Animated Chart

Tencent's stock surge has led to a slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money. A novel...

Gaudenz Schneider

Tencent (700.HK) Q2 Earnings: Rally Into Earnings on Historically Low Volatility

Tencent heads into Q2 earnings with strong gains and low volatility. We examine the implied move, past Q2 results, implied volatility and post...

John Ley

Tencent (700 HK): 2Q25 Preview, Game Up by 16%

We believe game revenue will continue to recover in 2Q25, riding on the policy easing. Tencent saveS computing costs by AI. We expect the stock has...

Ming Lu

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Tencent (700 HK): 2Q25, Game Revenue Up by 22%, FinTech Back to 2 Digits

The difference suggests an upside of 22.5% and a target price of HK$718 for year end 2025. The operating margin improved to 34.5% in 2Q25 compared...

Ming Lu

Tencent (700 HK) Earnings on 13 Aug: Patterns, Pricing, and Possibilities

Tencent (700 HK) reports tomorrow, Wednesday, 13 August 2025, 8:00pm HK. The stock traded sideways over the past four days. Historic move on...

Gaudenz Schneider

Tencent (700 HK) - Surging Price, Strikes, and Volatility. A Novel Look with an Animated Chart

​Tencent's stock surge has led to a slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money. A novel...

Gaudenz Schneider

Tencent (700.HK) Q2 Earnings: Rally Into Earnings on Historically Low Volatility

Tencent heads into Q2 earnings with strong gains and low volatility. We examine the implied move, past Q2 results, implied volatility and post...

John Ley

Tencent (700 HK): 2Q25 Preview, Game Up by 16%

We believe game revenue will continue to recover in 2Q25, riding on the policy easing. Tencent saveS computing costs by AI. We expect the stock has...

Ming Lu

Tencent's stock surge has led to a slow adjustment of call option strikes, shifting most contracts from out-of-the-money to in-the-money. A novel...