Tencent Music downgraded to Equal Weight from Overweight at Morgan Stanley

Morgan Stanley downgraded Tencent Music (TME) to Equal Weight from Overweight with a price target of $12.30, down from $25. The market, and the firm, significantly underestimated the competitive risk at the lower end from Soda Music, says the analyst, who adds that the market has started to debate whether Tencent Music’s moat can work.