TME vs. WBD: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at TME and WBD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
TME trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, WBD is a standard domestic listing.
| Symbol | TME | WBD |
|---|---|---|
| Company Name | Tencent Music Entertainment Group | Warner Bros. Discovery, Inc. |
| Country | China | United States |
| GICS Sector | Communication Services | Communication Services |
| GICS Industry | Entertainment | Entertainment |
| Market Capitalization | 35.54 billion USD | 44.29 billion USD |
| Exchange | NYSE | NasdaqGS |
| Listing Date | December 12, 2018 | July 8, 2005 |
| Security Type | ADR | Common Stock |
Historical Performance
This chart compares the performance of TME and WBD by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | TME | WBD |
|---|---|---|
| 5-Day Price Return | 1.26% | -7.02% |
| 13-Week Price Return | 14.20% | 55.70% |
| 26-Week Price Return | 62.29% | 95.31% |
| 52-Week Price Return | 74.21% | 131.74% |
| Month-to-Date Return | -0.43% | -8.40% |
| Year-to-Date Return | 104.76% | 69.25% |
| 10-Day Avg. Volume | 4.13M | 33.31M |
| 3-Month Avg. Volume | 6.05M | 64.28M |
| 3-Month Volatility | 38.20% | 78.15% |
| Beta | 0.46 | 1.62 |
Profitability
Return on Equity (TTM)
TME
10.55%
Entertainment Industry
- Max
- 42.50%
- Q3
- 24.06%
- Median
- 13.69%
- Q1
- 5.35%
- Min
- -17.95%
TME’s Return on Equity of 10.55% is on par with the norm for the Entertainment industry, indicating its profitability relative to shareholder equity is typical for the sector.
WBD
2.21%
Entertainment Industry
- Max
- 42.50%
- Q3
- 24.06%
- Median
- 13.69%
- Q1
- 5.35%
- Min
- -17.95%
WBD’s Return on Equity of 2.21% is in the lower quartile for the Entertainment industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
Net Profit Margin (TTM)
TME
33.83%
Entertainment Industry
- Max
- 45.33%
- Q3
- 24.40%
- Median
- 13.94%
- Q1
- 4.28%
- Min
- -23.67%
A Net Profit Margin of 33.83% places TME in the upper quartile for the Entertainment industry, signifying strong profitability and more effective cost management than most of its peers.
WBD
2.00%
Entertainment Industry
- Max
- 45.33%
- Q3
- 24.40%
- Median
- 13.94%
- Q1
- 4.28%
- Min
- -23.67%
Falling into the lower quartile for the Entertainment industry, WBD’s Net Profit Margin of 2.00% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
Operating Profit Margin (TTM)
TME
28.23%
Entertainment Industry
- Max
- 41.77%
- Q3
- 28.26%
- Median
- 16.13%
- Q1
- 8.03%
- Min
- -3.93%
TME’s Operating Profit Margin of 28.23% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.
WBD
8.43%
Entertainment Industry
- Max
- 41.77%
- Q3
- 28.26%
- Median
- 16.13%
- Q1
- 8.03%
- Min
- -3.93%
WBD’s Operating Profit Margin of 8.43% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | TME | WBD |
|---|---|---|
| Return on Equity (TTM) | 10.55% | 2.21% |
| Return on Assets (TTM) | 7.89% | 0.74% |
| Net Profit Margin (TTM) | 33.83% | 2.00% |
| Operating Profit Margin (TTM) | 28.23% | 8.43% |
| Gross Profit Margin (TTM) | 43.72% | 44.43% |
Financial Strength
Current Ratio (MRQ)
TME
2.09
Entertainment Industry
- Max
- 6.76
- Q3
- 4.02
- Median
- 1.55
- Q1
- 0.86
- Min
- 0.38
TME’s Current Ratio of 2.09 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.
WBD
1.04
Entertainment Industry
- Max
- 6.76
- Q3
- 4.02
- Median
- 1.55
- Q1
- 0.86
- Min
- 0.38
WBD’s Current Ratio of 1.04 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
TME
0.09
Entertainment Industry
- Max
- 1.54
- Q3
- 0.77
- Median
- 0.16
- Q1
- 0.02
- Min
- 0.00
TME’s Debt-to-Equity Ratio of 0.09 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
WBD
0.96
Entertainment Industry
- Max
- 1.54
- Q3
- 0.77
- Median
- 0.16
- Q1
- 0.02
- Min
- 0.00
WBD’s leverage is in the upper quartile of the Entertainment industry, with a Debt-to-Equity Ratio of 0.96. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio (TTM)
TME
--
Entertainment Industry
- Max
- 87.17
- Q3
- 35.59
- Median
- 7.06
- Q1
- 1.13
- Min
- -44.74
Interest Coverage Ratio data for TME is currently unavailable.
WBD
-4.48
Entertainment Industry
- Max
- 87.17
- Q3
- 35.59
- Median
- 7.06
- Q1
- 1.13
- Min
- -44.74
WBD has a negative Interest Coverage Ratio of -4.48. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | TME | WBD |
|---|---|---|
| Current Ratio (MRQ) | 2.09 | 1.04 |
| Quick Ratio (MRQ) | 1.86 | 0.79 |
| Debt-to-Equity Ratio (MRQ) | 0.09 | 0.96 |
| Interest Coverage Ratio (TTM) | -- | -4.48 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
TME
0.00%
Entertainment Industry
- Max
- 2.90%
- Q3
- 1.29%
- Median
- 0.59%
- Q1
- 0.00%
- Min
- 0.00%
TME currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
WBD
0.00%
Entertainment Industry
- Max
- 2.90%
- Q3
- 1.29%
- Median
- 0.59%
- Q1
- 0.00%
- Min
- 0.00%
WBD currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio (TTM)
TME
0.00%
Entertainment Industry
- Max
- 82.30%
- Q3
- 38.45%
- Median
- 29.74%
- Q1
- 0.00%
- Min
- 0.00%
TME has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
WBD
0.00%
Entertainment Industry
- Max
- 82.30%
- Q3
- 38.45%
- Median
- 29.74%
- Q1
- 0.00%
- Min
- 0.00%
WBD has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | TME | WBD |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
TME
22.37
Entertainment Industry
- Max
- 92.09
- Q3
- 54.51
- Median
- 28.92
- Q1
- 19.75
- Min
- 2.96
TME’s P/E Ratio of 22.37 is within the middle range for the Entertainment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
WBD
57.38
Entertainment Industry
- Max
- 92.09
- Q3
- 54.51
- Median
- 28.92
- Q1
- 19.75
- Min
- 2.96
A P/E Ratio of 57.38 places WBD in the upper quartile for the Entertainment industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Price-to-Sales Ratio (TTM)
TME
7.57
Entertainment Industry
- Max
- 12.34
- Q3
- 7.67
- Median
- 5.06
- Q1
- 2.72
- Min
- 0.67
TME’s P/S Ratio of 7.57 aligns with the market consensus for the Entertainment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
WBD
1.15
Entertainment Industry
- Max
- 12.34
- Q3
- 7.67
- Median
- 5.06
- Q1
- 2.72
- Min
- 0.67
In the lower quartile for the Entertainment industry, WBD’s P/S Ratio of 1.15 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
Price-to-Book Ratio (MRQ)
TME
2.04
Entertainment Industry
- Max
- 22.84
- Q3
- 10.54
- Median
- 6.60
- Q1
- 2.30
- Min
- 0.65
TME’s P/B Ratio of 2.04 is in the lower quartile for the Entertainment industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
WBD
0.79
Entertainment Industry
- Max
- 22.84
- Q3
- 10.54
- Median
- 6.60
- Q1
- 2.30
- Min
- 0.65
WBD’s P/B Ratio of 0.79 is in the lower quartile for the Entertainment industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | TME | WBD |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 22.37 | 57.38 |
| Price-to-Sales Ratio (TTM) | 7.57 | 1.15 |
| Price-to-Book Ratio (MRQ) | 2.04 | 0.79 |
| Price-to-Free Cash Flow Ratio (TTM) | 26.02 | 10.84 |