This article first appeared on GuruFocus .
Tencent Holdings ( TCEHY ) shares fell 2.46% to HK$419.80 at Friday's November 6 close in Hong Kong, equivalent to 3:00 a.m. ET, a day after the stock jumped 5.93% on the launch of its Hy4 AI model. The Hang Seng fell 1.3% to 24,481. Thursday's buyers took some money off the table.
Hy4 adds visual understanding to the Hunyuan line for the first time, along with computer-use features, and it reportedly has 770 billion parameters, up from fewer than 300 billion in the Hy3 series. It is already built into Tencent's WorkBuddy and CodeBuddy tools and sold through Tencent Cloud. Friday's dip reflected the U.S. tech selloff and profit-taking, plus reports that about 600,000 NVIDIA H200 chips are stuck in Hong Kong awaiting Beijing's approval, according to Vibiznews.
The GuruFocus chart shows a GF Score of 94/100, with Profitability and GF Value at 9/10 and Momentum at 8/10, while Financial Strength is the softer spoke at 6/10. At about 15 times earnings, Tencent looks cheap next to U.S. AI leaders. The test is whether Hy4 drives paid cloud and API usage, and whether the stuck H200 chips get released.
