Tencent late accident diving!
On the last trading day of this week, the global market changed again. First, the peripheral US stock futures index dived, and then the Hong Kong stock market plummeted. By the end of the day, the Hang Seng index was down 2.2% to 28739.72, down 1.23% on a weekly basis, with Internet technology stocks, mining stocks and financial stocks among the top losers. The Hang Seng technology index fell 2.13%, down 2.06% on a weekly basis. Among them, Tencent holdings fell suddenly at the end of the day, causing market concern.
So, what is the reason that led to the sudden decline of Tencent holdings? In addition to today's sudden move by the General Administration of market supervision to impose administrative penalties on ten cases of illegal concentration of operators in the Internet field, involving Tencent, Baidu and other well-known enterprises, there is also news from the peripheral market that Tencent holdings may become the next financial regulatory target.
Come and see the report!
Tencent lost HK $270 billion in late trading
Since 3:00 p.m. Beijing time, Tencent holdings suddenly fell, with the biggest drop of nearly 5% within the day and a sharp drop of 4.41% at the end of the day. From HK $678.5 before diving, Tencent evaporated about HK $270 billion in the last hour.
From the overall situation, Tencent holdings is undoubtedly the main drag down the market. In addition to him, Jingdong fell nearly 5%, meituan fell more than 3%, only Xiaomi bucked the trend and closed up 4.12%; nonferrous metal stocks and catering stocks fell the most, while semiconductor stocks, blockchain stocks, sporting goods stocks, insurance stocks, oil stocks and telecom stocks further expanded their late declines; only power stocks remained strong throughout the day, while domestic housing stocks and property stocks bucked the trend and rose. Recently, the market continued to rebound, but this time it was hit again, it can be seen that the market sentiment is still fragile.
Analysts believe that if we look for the reasons from the market, the main reason for the market and technology stocks to fall is from the United States. The yield of 10-year US bonds has exceeded 1.6%, and the Nai futures of US stocks has fallen again, and the three major indexes have all dived. At the same time, European stock markets also failed to open well.
In fact, Tencent diving late may also be the reason on the news. Today, there are more news about Tencent holdings.
Among them, China's State Administration of market supervision said on Friday that it had made administrative punishment decisions on 10 cases of illegal implementation of concentration of operators in the Internet field, including Tencent's acquisition of shares in ape Guidance Group, Baidu's acquisition of shares in Xiaoyu group, and the establishment of joint ventures between Shanghai Oriental newspaper and Beijing quantum leap technology, and imposed 50 penalties on 12 enterprises involved RMB 10000 yuan.
Tencent later responded that it has received the notice and attached great importance to it. It will actively rectify matters such as failing to declare in time and do a good job in compliance declaration in strict accordance with the requirements of the regulatory authorities.
The symbolic fine may just be the beginning, according to the news agency. Tencent may be the next financial regulatory target, according to people familiar with the matter. Another regulator said that the latest measures to restrict fintech companies are not targeted at specific companies, but focus on creating a stable environment for the development of private enterprises.
The revenue of Tencent's financial technology business in 2019 is about 84 billion yuan (13 billion US dollars), accounting for 22% of the total revenue, making it the biggest revenue driver after online entertainment, which is about 70% of ant's annual revenue.
Is Tencent stable?
In fact, from the research report, many research institutions have recently raised the target price of Tencent. Among them, the highest has reached HK $864, which is nearly 30% more than the target.
In recent years, Tencent's experience in dealing with US sanctions and supervision is outstanding. And there are precedents, so Tencent should be relatively calm in this process. Of course, it is also a special period at present. After all, the peripheral market is not calm, so it is possible to kill the valuation. In the medium and long term, Tencent may still be a subject worthy of attention.