Trip.com Group Ltd vs Tencent Music Entertainment Group - ADR — how do they compare? Trip.com Group Ltd trades at $44.26 (market cap $28.12B), while Tencent Music Entertainment Group - ADR trades at $9.16 (market cap $15.08B). The key difference: Trip.com Group Ltd is the larger of the two by market cap, and Tencent Music Entertainment Group - ADR pays the higher dividend (2.62%). Which is the better fit depends on your goals.
| TCOM | TME | |
|---|---|---|
Market Cap | $28.12B | $15.08B |
Sector | Consumer Cyclical | Media |
52-Week High | $78.96 | $26.36 |
52-Week Low | $39.84 | $8.16 |
Enterprise Value | $20.82B | $11.85B |
Dividend Yield | 0.42% | 2.62% |
Trailing returns across standard periods
Trip.com is the largest online travel agent in China and is positioned to benefit from the country's rising demand for higher-margin outbound travel as passport penetration is only 12% in China. The company generated about 78% of sales from accommodation reservations and transportation ticketing in 2020. The rest of revenue comes from package tours and corporate travel. Prior to the pandemic in 2019, the company generated 25% of revenue from international business, which is important to its margin expansion. Most of sales come from websites and mobile platforms, while the rest come from call centers. The competes in a crowded OTA industry in China, including Meituan, Alibaba-backed Fliggy, Toncheng, and Qunar. The company was founded in 1999 and listed on the Nasdaq in December 2003.
Read more on TCOM →TME is the largest online music service provider in China. It was founded in 2016 with the business combination of QQ Music (founded in 2005), Kuwo Music (founded in 2005) and Kugou Music (founded in 2004) streaming platforms. Tencent is the largest shareholder of TME with over 50% shares and over 90% voting rights held. TME also provides social entertainment services, including music live audio/video broadcasts and online concert services through the three platforms mentioned above, and online karaoke through an independent platform WeSing.
Read more on TME →