Tencent Holdings Ltd

00700: XHKG (HKG)

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Tencent: AI Panic Hits Earnings Multiple, Not the Fundamentals; Shares Look Cheap

Ivan Su

Jun 30, 2026

Tencent is down roughly 30% year-to-date in 2026 and recently hit a 52-week low as the market punishes Chinese internet names amid uncertainty around AI. The sell-off is almost entirely multiple compression, with forward P/E derating from 18 times at the start of the year to 12 times today.

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Tencent Holdings Ltd

Tencent: AI Panic Hits Earnings Multiple, Not the Fundamentals; Shares Look Cheap

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