The Richest Man in China Now Is No Longer Jack Ma

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Just recently, Pony Ma surpassed Jack Ma as being China’s richest man!

According to Forbes recently updated real-time rankings statistics, Pony Ma’s personal net assets have reached 36.9 billion USD, ranking him 18th in Forbes listing of the richest people in the world. For the first time, he has surpassed the founder of Alibaba, Jack Ma.

Mr. Ma’s personal net worth is $36.2 billion, which ranks him 19th on the global listing. Wang Jianlin, with a personal net assets of $30.1 billion USD, is ranked third in China and 26th on the list of the richest people in the world.


Forbes real-time Global Rich List Data

 

The rise of Tencent share price is linked to the King of Glory

Tencent’s share price rose from $190 HKD at the beginning of the year to $319 HKD, and one of its major contributors was its game product champion–King of Glory.

Operating income of the King of Glory in the first quarter reached around 6 billion yuan, and according to Tencent Holdings “value-added services” 60.93% margin, King of Glory for Tencent holdings can bring in a gross profit of 3.656 billion yuan. Referring to Tencent holdings as a whole with 29.34% of the sales net profit, King of Glory contributed to Tencent Holdings 1.76 billion yuan of net profit.

Because this game is so popular, it caused much social discussion. In early July, the People’s Network released many articles “angrily denouncing” the game King of Glory. After it was “criticized”, Tencent shares fell, reaching 4.13% on July 4, and the same time driving Hong Kong Hang Seng Index down by 1.53%. Within a day, the market value of Tencent Holdings dropped by almost HK $110 billion HKD.

Even though the stock price fell slightly as the result of a little incident, it rebounded quickly afterward. The latest second report shows that a total of 30 funds (shares were calculated separately) heavily holding Tencent Holdings, which the total amount reached 11.0689 million shares. The net worth of these funds, along with the increase in stocks, has been a huge gain.

Several days ago, many institutions readjusted the target price of Tencent Holdings. Bank of America and silver Merrill raised the target price to $331 RMB to maintain “buying” ratings. The bank anticipates that the mobile gaming business will continue to promote the company’s income. Nomura raised the target price to $341 RMB and pointed out that the WeChat “small program” is making progress. Deutsche Bank raised the target price from $320 to $327 yuan, rating the “buying” rates. The bank believes that the revenue forecast growth of Tencent for 2019 and 2020 will be 14% and 48% respectively. The revision of valuation is credited to Tencent’s valuation of the cloud.

 

Tencent Market Value Rises 500 times in 13 years

Since it went on the market on June 16, 2004, till the end of January 2014, it exceeded 1 trillion Hong Kong dollars in nearly 10 years. Then within only 31 months, it raised from $1 trillion to $2 trillion yuan, and went from $2 trillion to $3 trillion yuan within only 11 months.

On January 30, 2014, Tencent stock prices exceeded 540 yuan, with the highest reaching 545 yuan. At that time, Tencent’s total capital stock was 1.862 billion shares, followed by the right to buy shares. In May of that year, 1 shares was demolished by 5 shares, and the total capital stock reached 9.328 billion shares.

On September 6, 2016, Tencent’s total share capital was 9.466 billion shares. The stock price soared to $216 yuan that day and the company’s total market value exceeded 2 trillion yuan.

On August 1, 2017, Tencent held shares of 9.498 billion shares, the stock price reached 315.86 yuan, surpassing 3 trillion yuan.

June 16, 2004 it went on the market, former complex rights, on July 26, 2004, the lowest share price reached 0.6 yuan. The current share price is 319.8 yuan, showing that the stock price is risen as high as 533 times.

 

 

This article originally appeared in CCTV Finance and was translated by Pandaily.

Click here to read the original Chinese article.

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