One company, which was in the news quite often in the last few weeks was Tencent (OTCPK:TCEHY). As part of the ongoing dispute between the United States and China as well as the US government forcing TikTok to sell its US operations, Tencent and its social message app WeChat were also targeted by the US president. This led to a small sell-off in Tencent, and at the time of writing, Tencent is trading about 10% lower.
(Source: Tencent Media)
In November 2018, I published my first and only article on Tencent, and I will take the opportunity to take a closer look again at one of the very few Chinese companies I pay closer attention to. After starting with a small business description, I will look especially at the growth potential of Tencent in the years to come, its high barriers to entry, and the wide economic moat around the business. We will end with an intrinsic value calculation and look at the risks surrounding Tencent.
Tencent Holdings is one of the biggest corporations in China and a multinational conglomerate holding company that was founded in 1998 and went public in 2004. Only 22 years after the company was founded, Tencent can be described