Tencent Music assumed at Equal Weight from Overweight at Morgan Stanley

Morgan Stanley downgraded Tencent Music to Equal Weight from Overweight with a price target of $13, down from $15, as the analyst assumed primary coverage of the stock. The analyst recommends a “wait and see” approach on Tencent Music after its growth engine switched from paying users to ARPPU and sees uncertainty in net adds momentum given the “lack of low-hanging fruit” after seven quarters of high growth.