TCEHY -- "google" of China ?

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Pax
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TCEHY -- "google" of China ?

Post by Pax »

TCEHY (TENCENT HOLDINGS LTD) has been described as the "google" of China.
Maybe a consideration for the "play money" portion of my portfolio?

Have you guys looked into TCEHY?
drk
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Re: TCEHY -- "google" of China ?

Post by drk »

Tencent appears to be a great company, but I prefer not to wander into mainland Chinese stocks on my own because of potential legal questions. Fortunately, by holding VEMAX/VWO, you get exposure to Tencent to the tune of 5%. With my modest EM tilt, Morningstar pegs it at .72% of my total portfolio.
katon
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Re: TCEHY -- "google" of China ?

Post by katon »

Pax wrote: Sat Feb 03, 2018 12:58 pm TCEHY (TENCENT HOLDINGS LTD) has been described as the "google" of China.
Maybe a consideration for the "play money" portion of my portfolio?

Have you guys looked into TCEHY?
i think like you sounds to be great company. the issue in my opinion is that China is more vulnerable than FANG US companies...
i think to open a position . Please see that Tencent pays dividends...is very important in my opinion. I only own dividend paying stocks.
nova1968
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Re: TCEHY -- "google" of China ?

Post by nova1968 »

Back in the day when I used to buy individual stocks BAIDU was a well performing Chinese stock which I believe was the main internet search engine in China. Not sure whats going on with it these days.
FireHorse
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Re: TCEHY -- "google" of China ?

Post by FireHorse »

How about JD.com? "Amazon" of China.
selters
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Re: TCEHY -- "google" of China ?

Post by selters »

ln09348 wrote: Mon Feb 26, 2018 12:36 pm How about JD.com? "Amazon" of China.
Isn't Alibaba the Amazon of China?
david1082b
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Re: TCEHY -- "google" of China ?

Post by david1082b »

Google used to be the Google of China, then in 2010 Baidu took that over I think (Baidu does internet search). Google makes almost all its revenue from internet advertising, can that really be said of Tencent? Is Tencent the Tencent of China, not really being comparable to a Western company easily?
The company originally derived income solely from advertising and premium users of QQ, who pay monthly fees to receive added extras.[28] But by 2005, charging for use of QQ mobile, its cellular value-added service, and licensing its iconic penguin character, which could be found on snack food[37] and clothing,[28] had also become income generators.[28] By 2008, Tencent was seeing profit growth from the sale of virtual goods.[38] While Tencent's services have included online gaming since 2004, around 2007–2008 it rapidly increased its offerings by licensing games.[39] While least two, CrossFire and Dungeon Fighter Online, were originally produced by South Korean game developers, Tencent now makes its own games.[39] https://en.wikipedia.org/wiki/Tencent#P ... d_services
More similar to Valve perhaps?
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zonto
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Re: TCEHY -- "google" of China ?

Post by zonto »

I have looked into it, but only so far as to see that it's the top holding in Vanguard Total International Stock Index Fund: https://personal.vanguard.com/us/FundsA ... irect=true. I hold all I care to.
"For real-world portfolios, the main impact of diversification is to narrow the dispersion of outcomes. [T]he most important impact is to make the worst outcomes less bad." (Vineviz)
inbox788
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Re: TCEHY -- "google" of China ?

Post by inbox788 »

nova1968 wrote: Mon Feb 26, 2018 10:00 am Back in the day when I used to buy individual stocks BAIDU was a well performing Chinese stock which I believe was the main internet search engine in China. Not sure whats going on with it these days.
Tencent is my biggest holding in my international fund!

https://personal.vanguard.com/us/FundsA ... irect=true

I have some Alibaba too. Strangely, I don't have Baidu ($87B market cap!), and I don't know why. Maybe it has something to do with which index it's listed on.

https://www.barrons.com/articles/why-em ... 1496180637

https://www.cnbc.com/2015/11/12/alibaba ... index.html
hmw
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Re: TCEHY -- "google" of China ?

Post by hmw »

Baidu is the main search company in China.

TCEHY owns Wechat which is ubiquitous in China. Wechat is like Facebook with a messenger app, and a payment app all in one. Local Chinese is able to use Wechat to pay for almost everything in China.
WildCat48
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Re: TCEHY -- "google" of China ?

Post by WildCat48 »

hmw wrote: Mon Feb 26, 2018 10:38 pm Baidu is the main search company in China.

TCEHY owns Wechat which is ubiquitous in China. Wechat is like Facebook with a messenger app, and a payment app all in one. Local Chinese is able to use Wechat to pay for almost everything in China.
Bingo, you literally can't do anything in China without WeChat.
katon
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Re: TCEHY -- "google" of China ?

Post by katon »

what do you think about their dividend ?? is interesting
phantom0308
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Re: TCEHY -- "google" of China ?

Post by phantom0308 »

Tencent isn’t the google of China. It’s a large tech company. China’s tech sector is different, so analogies like this don’t make sense. If tencent is google then who is Facebook/WhatsApp ? Is Alibaba Amazon or eBay, both plus PayPal? Apple is still Apple?
Don’t invest your play money until you understand the basics of the sector (or do, it’s all a crapshoot anyway).
phantom0308
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Re: TCEHY -- "google" of China ?

Post by phantom0308 »

inbox788 wrote: Mon Feb 26, 2018 8:54 pm
Tencent is my biggest holding in my international fund!

https://personal.vanguard.com/us/FundsA ... irect=true

I have some Alibaba too. Strangely, I don't have Baidu ($87B market cap!), and I don't know why. Maybe it has something to do with which index it's listed on.

https://www.barrons.com/articles/why-em ... 1496180637

https://www.cnbc.com/2015/11/12/alibaba ... index.html
Baidu is traded on the NASDAQ so it’s not an international stock.
z3r0c00l
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Re: TCEHY -- "google" of China ?

Post by z3r0c00l »

If one is planning to gamble on this stock, they first have to explain "why now?" The stock is up a few thousand percent since the recent IPO and almost 100% YTD.
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Tamarind
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Re: TCEHY -- "google" of China ?

Post by Tamarind »

I used to work with them at a prior job more than 10 years ago. While they have Google-like qualities, they also have a different set of strengths in industries Google hasn't really engaged with, and visa versa.

It's just another company, and also very large already. Take your exposure from a diversified international fund.
uberational44
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Re: TCEHY -- "google" of China ?

Post by uberational44 »

There was an article in barron's a few years ago about a famous short (and successful) short-seller who said Alibaba's numbers are bordering on fiction.

I can't find the article, but here is something similar:

http://uk.businessinsider.com/barrons-c ... ?r=US&IR=T

It's an interesting perspective, because investors are really buying into the Alibaba/China story
Marketeer investing as a hobby. Interested in modern takes on value investing, passive investing and general contrarianism.
drk
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Re: TCEHY -- "google" of China ?

Post by drk »

phantom0308 wrote: Sun Mar 04, 2018 3:27 am
inbox788 wrote: Mon Feb 26, 2018 8:54 pm
Tencent is my biggest holding in my international fund!

https://personal.vanguard.com/us/FundsA ... irect=true

I have some Alibaba too. Strangely, I don't have Baidu ($87B market cap!), and I don't know why. Maybe it has something to do with which index it's listed on.

https://www.barrons.com/articles/why-em ... 1496180637

https://www.cnbc.com/2015/11/12/alibaba ... index.html
Baidu is traded on the NASDAQ so it’s not an international stock.
It's just not in the FTSE Global All-Cap Ex-U.S. Index. I have it in IEMG (iShares Core MSCI Emerging Markets ETF), VWO (Vanguard FTSE Emerging Markets ETF), SPEM (SPDR Portfolio Emerging Markets ETF), and IXUS (iShares Core MSCI Total International Stock ETF).
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