Bilibili Inc. Sponsored ADR (BILI) vs Tencent Music Entertainment Group Sponsored ADR (TME)

Bilibili Inc. Sponsored ADR and Tencent Music Entertainment Group Sponsored ADR are both Internet Content & Information companies. Bilibili Inc. Sponsored ADR and Tencent Music Entertainment Group Sponsored ADR are of similar size ($5.0B and $5.0B). Tencent Music Entertainment Group Sponsored ADR trades at the lower P/E: 10.1× against 28.1×. Tencent Music Entertainment Group Sponsored ADR grew revenue faster over the last twelve months: 17.8% against 14.7%. Tencent Music Entertainment Group Sponsored ADR has the higher net margin (26.4% vs 4.83%) and the lower return on invested capital (9.92% vs 76.5%). Across the 22 metrics below, Tencent Music Entertainment Group Sponsored ADR leads on 14 and Bilibili Inc. Sponsored ADR on 8.

Valuation

Metric BILI TME Internet Content & Information median
P/E 28.11 10.11 10.24
P/S 1.35 2.71 0.87
P/B 2.80 1.10 1.32
Price to free cash flow 4.00 13.07 8.85
EV/EBITDA 20.02 7.13 8.86
EV/Sales 0.88 2.10 1.15
Earnings yield 3.56% 9.89% (1.58%)
Free cash flow yield 24.99% 7.65% 2.32%

Profitability

Metric BILI TME Internet Content & Information median
Gross margin 37.00% 44.34% 66.84%
Operating margin 4.40% 29.41% (3.41%)
Net margin 4.83% 26.37% (3.02%)
Free cash flow margin 0.00% 33.20% 1.75%
Return on equity 0.00% 10.65% 0.00%
Return on assets 3.83% 7.91% (0.36%)
Return on invested capital 76.46% 9.92% 0.00%

Growth

Metric BILI TME Internet Content & Information median
Revenue growth (TTM) 14.66% 17.81% 2.65%
EPS growth (last fiscal year) 188.64% 75.86% —
Revenue growth, 5-year CAGR 18.73% 1.62% 9.73%
Net income growth, 5-year CAGR 0.00% 20.63% 0.00%

Health

Metric BILI TME Internet Content & Information median
Debt to equity 0.60 0.13 0.01
Current ratio 1.32 1.74 1.82
Net debt to EBITDA (4.39) (1.88) (0.48)

Dividend

Metric BILI TME Internet Content & Information median
Dividend yield — — 3.19%
Payout ratio 0.00 0.00 0.00

Size

Metric BILI TME Internet Content & Information median
Market cap 5.03b 4.95b 283.68m

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