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

JOYY Inc. Sponsored ADR and Tencent Music Entertainment Group Sponsored ADR are both Internet Content & Information companies. Tencent Music Entertainment Group Sponsored ADR is the larger, with a market value of $5.0B against $2.6B — 1.9× the size. Tencent Music Entertainment Group Sponsored ADR trades at the lower P/E: 10.1× against 18.8×. Tencent Music Entertainment Group Sponsored ADR grew revenue faster over the last twelve months: 17.8% against 7.51%. Tencent Music Entertainment Group Sponsored ADR has the higher net margin (26.4% vs 9.58%) and the higher return on invested capital (9.92% vs 0.72%). Across the 22 metrics below, Tencent Music Entertainment Group Sponsored ADR leads on 12 and JOYY Inc. Sponsored ADR on 10.

Valuation

Metric JOYY TME Internet Content & Information median
P/E 18.77 10.11 10.24
P/S 1.76 2.71 0.87
P/B 0.62 1.10 1.32
Price to free cash flow 4.62 13.07 8.85
EV/EBITDA 44.82 7.13 8.86
EV/Sales 1.15 2.10 1.15
Earnings yield 5.33% 9.89% (1.58%)
Free cash flow yield 21.63% 7.65% 2.32%

Profitability

Metric JOYY TME Internet Content & Information median
Gross margin 34.81% 44.34% 66.84%
Operating margin 2.58% 29.41% (3.41%)
Net margin 9.58% 26.37% (3.02%)
Free cash flow margin 0.00% 33.20% 1.75%
Return on equity 3.32% 10.65% 0.00%
Return on assets 2.89% 7.91% (0.36%)
Return on invested capital 0.72% 9.92% 0.00%

Growth

Metric JOYY TME Internet Content & Information median
Revenue growth (TTM) 7.51% 17.81% 2.65%
EPS growth (last fiscal year) 1,643.92% 75.86% —
Revenue growth, 5-year CAGR 2.06% 1.62% 9.73%
Net income growth, 5-year CAGR 8.84% 20.63% 0.00%

Health

Metric JOYY TME Internet Content & Information median
Debt to equity 0.01 0.13 0.01
Current ratio 2.01 1.74 1.82
Net debt to EBITDA (8.05) (1.88) (0.48)

Dividend

Metric JOYY TME Internet Content & Information median
Dividend yield 4.00% — 3.19%
Payout ratio 0.50 0.00 0.00

Size

Metric JOYY TME Internet Content & Information median
Market cap 2.60b 4.95b 283.68m

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