Tencent Valuation - Why and How I bought It

Another random quick decision I recently buy was Tencent based on some comments on Twitter.

I know Tencent but not too much. Previously I have been impressed by the investments that they did, including in SEA Group. Someone on Twitter shared their biggest portfolio and I was impressed and just decided to buy it.

Tencent's stock portfolio is up 65% in 2020.

Top 25 holdings exceed $100 billion.

Holy shit...$JD $TSLA $SE $PDD $SNAP $SPOT $ATVI $NIO $WUBA $HUYA $DOYU $VIPS $BILI https://t.co/mF8BXjnYiI pic.twitter.com/4UbGdfjOvH

— Warbucks (@therealjunto) June 16, 2020

There a few companies that I loved

• Shopee, which almost 2x my investment in a few months
• Tesla, I made almost 3x and sold. Seeing that they have the stock impressed me. Can understand why it is so successful in China now too
• Bilibili, I learned about this company in one of my screeners of growth with lots of short interests. The registration was a hassle and I didn't do it. Anyway, I couldn't figure its growth potential yet so I didn't buy them
• Activision, I loved Starcraft as a viewer in the past. Blizzard is so patient in building their brand and product. I cannot wait for the Diablo mobile game to come too. I think that will be a money-maker again.

There are other companies I know too, like Spotify, Nio (not hopeful of them though), JD (Amazon in China). Nevertheless,

Growth Potential of Tencent

• Honestly speaking, I am not sure how much growth Tencent can have. I solely bought on their investment ability. All the stocks I mentioned can easily 2x if executed right
• In terms of pricing, Tencent didn't grow and only just recover to pre virus status. I think it is underrated compared to the holdings it has. 

Steps on how I got Tencent in Interactive Broker:

• I tried and finally learned about OTC / Pink Sheet stock exchange. I tried to buy $TCHY in IBKR and it failed. Read that you can only close a position in IBKR US.
• So, I quickly update my permission to include "Hong Kong"
• I tried again and it started to wait for the market to open
• The market opening is interesting from 9:30 to 4 pm. 
• I tried to put it yesterday close but failed. Finally, I put nearer to bid at 3:50 pm to get it.

I wonder how long the stock market will continue to grow.

My bear put options attempts have been failing badly so I am thinking to stop that. I started with the purpose of learning to short and avoid a crash but this FOMO market is just not worth trying. (GSX is something I think fishy as per Muddy Water Research, but luckily I sold my put early as it has been short squeeze frequently).