TCMEF (Tencent Music Entertainment Group) FCF Margin %: 32.06% (As of Jun. 2026) — 43% Above Median

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TCMEF Tencent Music Entertainment Group TCMEF
61 GF Score
Price $4.45
GF Value $8.39
Valuation Significantly Undervalued
! 1 Warning Sign
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What is Tencent Music Entertainment Group FCF Margin %?

Tencent Music Entertainment Group TCMEF 61 FCF Margin % is 32.06% as of Jun. 2026, which is 43% above its 10-year median of 22.46. GuruFocus rates TCMEF with a GF Score™ of 61/100 and a GF Value™ of $8.39 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 548 Interactive Media companies, Tencent Music Entertainment Group ranks better than 91.24% on this metric.

FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Tencent Music Entertainment Group's Free Cash Flow for the three months ended in Jun. 2026 was $423 Mil. Tencent Music Entertainment Group's Revenue for the three months ended in Jun. 2026 was $1,318 Mil. Therefore, Tencent Music Entertainment Group's FCF Margin % for the quarter that ended in Jun. 2026 was 32.06%.

As of today, Tencent Music Entertainment Group's current FCF Yield % is 12.10%.

The historical rank and industry rank for Tencent Music Entertainment Group's FCF Margin % or its related term are showing as below:

TCMEF' s FCF Margin % Range Over the Past 10 Years
Min: 7.94   Med: 22.46   Max: 33.15
Current: 33.15


During the past 10 years, the highest FCF Margin % of Tencent Music Entertainment Group was 33.15%. The lowest was 7.94%. And the median was 22.46%.

TCMEF's FCF Margin % is ranked better than
91.24% of 548 companies
in the Interactive Media industry
Industry Median: 2.825 vs TCMEF: 33.15


Tencent Music Entertainment Group FCF Margin % Related Terms


Tencent Music Entertainment Group FCF Margin % Historical Data

* Premium members only.

The historical data trend for Tencent Music Entertainment Group's FCF Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Tencent Music Entertainment Group FCF Margin % Chart

Tencent Music Entertainment Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
FCF Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.94 22.68 22.24 32.54 27.48

Tencent Music Entertainment Group Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
FCF Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 19.40 43.52 27.67 29.54 32.06

TCMEF vs PINS, MTCH, SNAP: FCF Margin % Comparison

For the Internet Content & Information subindustry, Tencent Music Entertainment Group's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Tencent Music Entertainment Group FCF Margin % vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Tencent Music Entertainment Group's FCF Margin % distribution charts can be found below:

* The bar in red indicates where Tencent Music Entertainment Group's FCF Margin % falls into.


TCMEF
61GF Score
Tencent Music Entertainment Group TCMEF
FCF Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Tencent Music Entertainment Group FCF Margin % Calculation

FCF margin is the ratio of Free Cash Flow divided by net sales or Revenue, usually presented in percent.

Tencent Music Entertainment Group's FCF Margin for the fiscal year that ended in Dec. 2025 is calculated as

FCF Margin=Free Cash Flow (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=1283.934/4671.456
=27.48 %

Tencent Music Entertainment Group's FCF Margin for the quarter that ended in Jun. 2026 is calculated as

FCF Margin=Free Cash Flow (Q: Jun. 2026 )/Revenue (Q: Jun. 2026 )
=422.681/1318.368
=32.06 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about FCF Margin % →
What does a FCF Margin % of 32.06% mean?
Tencent Music Entertainment Group (TCMEF) has a FCF Margin % of 32.06% as of Jun. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Tencent Music Entertainment Group and its competitors. This is 43% above median its historical median of 22.46. Over the past decade, Tencent Music Entertainment Group's FCF Margin % has ranged from 7.94 to 33.15. According to the industry distribution chart, Tencent Music Entertainment Group ranks #48 out of 548 companies in the Interactive Media industry, placing it in the top 8.8%.
Is Tencent Music Entertainment Group's FCF Margin % too high?
Tencent Music Entertainment Group's current FCF Margin % of 32.06% is 43% above median its 10-year median of 22.46. Over the past 10 years, this metric has ranged from a low of 7.94 to a high of 33.15. The Interactive Media industry median FCF Margin % is 2.83. Tencent Music Entertainment Group's value of 32.06% is 1034.9% above this industry median. Based on the distribution chart, Tencent Music Entertainment Group ranks #48 out of 548 companies in the Interactive Media industry, which is in the top quartile — a strong position relative to peers. Overall, Tencent Music Entertainment Group has a GF Score™ of 61/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Tencent Music Entertainment Group's FCF Margin % compare to PINS and MTCH?
According to the Interactive Media industry distribution chart, Tencent Music Entertainment Group ranks #48 out of 548 companies for FCF Margin %. This places Tencent Music Entertainment Group in the top 9% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 2.83. Tencent Music Entertainment Group's value of 32.06% is 1034.9% above this benchmark. Historically, Tencent Music Entertainment Group's own FCF Margin % has ranged from 7.94 to 33.15 over the past decade. While the company's 10-year median is 22.46 vs. the industry median of 2.83, Tencent Music Entertainment Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for an Interactive Media company?
The median FCF Margin % among Interactive Media companies is 2.83, based on 548 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tencent Music Entertainment Group's current FCF Margin % of 32.06% is 1034.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Tencent Music Entertainment Group and its competitors. For the Interactive Media industry, the median FCF Margin % is 2.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tencent Music Entertainment Group's current FCF Margin % is 32.06%, which is 43% above median its own 10-year median of 22.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tencent Music Entertainment Group stock overvalued right now?
Based on GuruFocus' analysis, Tencent Music Entertainment Group (TCMEF) is currently considered Significantly Undervalued. The stock's GF Value™ is $8.39, compared to a current price of $4.45 — trading 47% below its estimated fair value. The current FCF Margin % is 32.06%, which is 43% above median its 10-year median of 22.46 and 1034.9% above the Interactive Media industry median of 2.83. Tencent Music Entertainment Group's overall GF Score™ is 61/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Tencent Music Entertainment Group (TCMEF), the current FCF Margin % is 32.06% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Tencent Music Entertainment Group (TCMEF) Overvalued in 2026?

Based on GuruFocus' analysis, Tencent Music Entertainment Group stock appears to be undervalued. The current stock price of $4.45 is trading 47% below its estimated GF Value™ of $8.39. GuruFocus considers Tencent Music Entertainment Group to be Significantly Undervalued.

Key valuation signals for TCMEF:

  • FCF Margin %: 32.06% (43% above median its 10-year median of 22.46)
  • GF Value™: $8.39 vs. price of $4.45 (47% below fair value)
  • GF Score™: 61/100 with 1 warning sign
  • Industry Position: 1034.9% above the Interactive Media median (#48 of 548)

No single metric tells the full story. See the TCMEF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Tencent Music Entertainment Group Business Description

Address Kexing Science Park, Kejizhongsan Avenue, Unit 3, Building D, Hi-Tech Park, Nanshan District, Shenzhen, CHN, 518057
Tencent Music is the largest online music streaming platform in China, established in 2016 through the merger of QQ Music, Kuwo Music, and Kugou Music. Tencent, its largest shareholder, holds over 50% of the shares and more than 90% of the voting rights. Beyond streaming services, Tencent Music generates revenue through a diverse range of offerings, including podcasts, livestreaming, concerts, and karaoke.
61GF Score

Get the complete analysis for TCMEF

FCF Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$4.45
Price
$8.39
GF Value