Tencent Music Tumbles, Hit by Nomura Downgrade and Record Slow Growth

Nomura downgraded Tencent Music Entertainment from Buy to Neutral. The firm lowered its price target for the stock to $10 from $12.50.

Second-quarter revenue grew 5.8% year-over-year to 8.93 billion yuan. This performance represents the company's slowest revenue growth in two years.

Intense competition from ByteDance’s Soda Music continues to erode the company's user base. Tencent Music shares have lost approximately half of their value this year.