0312 GMT - Tencent's margin expansion story remains intact, Jefferies analysts Thomas Chong and Zoey Zong say in a research note. The Chinese tech giant's 1Q online games revenue likely grew 15% on year, benefiting from strong performance over the Lunar New Year, they say. Its 1Q advertising business revenue likely gained 17%, due to AI powered infrastructure, solid operational strengths and video accounts, the analysts note. Investors should pay attention to management comments on the impact of reciprocal tariffs on different businesses and AI updates across different segments, they say. Jefferies maintains a buy rating on Tencent, maintaining its target price at HK$646.00. Shares are last at HK$435.00.(sherry.qin@wsj.com)

(END) Dow Jones Newswires

April 10, 2025 23:12 ET (03:12 GMT)

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