Tencent Shares Tumble After Approaching $1 Trillion Valuation
Bloomberg 1/26/2021 Sofia Horta e Costa
(Bloomberg) Tencent Holdings Ltd. slumped after a world-beating surge in the stock pushed its market value to the cusp of $1 trillion for the first time.
The Chinese Internet behemoth lost 6.3% in Hong Kong on Tuesday, putting its market capitalization below $890 billion. Traders took profit after Monday’s 11% rally, which was Tencent’s biggest in almost a decade. Adding to the caution were comments by an adviser to China’s central bank at a conference, reported by local media, indicating that excessive liquidity was creating asset bubbles.
Thousands of bullish Tencent options lost almost all their value, after some surged as much as 118,300% on Monday. The frenzy in derivatives trading pushed the cost of one-month Tencent options to the highest since March 2014 relative to those tracking the Hong Kong benchmark, according to data compiled by Bloomber
From Pony Ma to Jack Ma, the Rich Win Big With Wild H.K. Stocks
Bloomberg 1/26/2021 Venus Feng
(Bloomberg) Pony Ma got $6.9 billion richer on Monday after one of the companies his Tencent Holdings Ltd. backs revealed its IPO plans, while Jack Ma’s public reappearance Wednesday added $1.6 billion to his net worth.
Even though the Hong Kong market has proved particularly volatile lately the benchmark Hang Seng Index gave up all of of its Monday gain on Tuesday it’s been one of the world’s highlights this month.
Tencent and Alibaba Group Holding Ltd., along with food-delivery giant Meituan and carmaker Geely Automobile Holdings Ltd., were among the stocks helping propel the rally. Their top executives have made a combined $32 billion this month through Monday, and they’re not the only ones benefiting, according to the Bloomberg Billionaires Index.
These are the top 5 holdings of Benin Management Corp
SSGA SPDR S&P 500 (SPY) - 220,928 shares, 33.25% of the total portfolio. Shares added by 9.54%
Apple Inc (AAPL) - 124,042 shares, 6.63% of the total portfolio. Shares reduced by 7.21%
Microsoft Corp (MSFT) - 55,359 shares, 4.96% of the total portfolio. Shares reduced by 2.8%
PepsiCo Inc (PEP) - 76,442 shares, 4.56% of the total portfolio. Shares reduced by 4.48%
Visa Inc (V) - 50,239 shares, 4.42% of the total portfolio. Shares reduced by 3.51%
New Purchase: Bank of New York Mellon Corp (BK)
Benin Management Corp initiated holding in Bank of New York Mellon Corp. The purchase prices were between $34.08 and $42.44, with an estimated average price of $38.54. The stock is now traded at around $41.300000. The impact to a portfolio due to this purchase was 0.38%. The holding were 22,319 shares as of 2020-12-31.
A logo of Tencent is seen at its booth at the 2020 China International Fair for Trade in Services (CIFTIS) in Beijing, China September 4, 2020. REUTERS/Tingshu Wang/File Photo
HONG KONG: Tencent Holdings Ltd. fell Tuesday, after a world-beating surge in the stock pushed its market value to the cusp of $1 trillion for the first time.
The Chinese Internet behemoth lost as much as 5.1% in Hong Kong, its biggest decline in a month, putting its market capitalisation at $900 billion. Its shares surged 11% Monday, Tencent’s best gain since 2011.
There were few obvious catalysts for a rally of that size, although traders cited an ambitious listing plan from video startup Kuaishou Technology, in which Tencent holds a stake, as well as a bullish note from Citigroup Inc. analysts. The options market went wild, with one contract expiring Thursday soaring 118,300%.