04:35 AM EDT, 07/21/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our 12-month target price to USD24 (from USD18), as we price in recent strong earnings performance, improving earnings visibility, and continued strength in demand for online music services. Our new 12-month target price implies a forward 2026 P/E of 27.6x, a significant ~30% premium to TME's five-year historical average, which we believe is warranted given its margin uplift, consistent capital returns, and structural revenue mix shift toward higher-margin segments. We expect upcoming quarters to demonstrate solid online music services revenue growth on subscription gains and ARPPU growth from SVIP uptake, coupled with strength from advertising. Margin should stay elevated in tandem with TME's shift to higher margin subscriptions, advertising and merchandise, while lower social entertainment revenue mix (at lower margin) should also provide margin support. Our forecasts are unchanged, and TME will report Q2 2025 earnings on August 12, 2025.