BOCI Securities Limited: Maintains a "buy" rating on TME-SW (01698) with a target price of HK$51.

Bank of China International released a research report stating that considering the stable execution of TME-SW (01698) stock repurchase and annual dividend policy, the company's "buy" rating is maintained, with an H-share target price set at 51 Hong Kong dollars. The bank forecasts that Tencent Music's performance in the fourth quarter of 2024 will be in line with market expectations, estimating a 6% year-on-year increase in total revenue; the adjusted net profit margin is expected to reach 27%. Among them, core music membership revenue is expected to increase by 17%. The report states that Tencent Music will continue to rely on its core music content ecosystem and rich, integrated infrastructure. By strengthening its commercialization capabilities and improving commercialization efficiency, the company aims to achieve stable and high-quality growth in its music business in the future.