Naspers’s surge on Friday has raised renewed questions about the sustainability of investing in the market heavyweight at current elevated levels. But analysts remain positive that its stake in Chinese internet company Tencent will continue to benefit the group. Tencent, of which Naspers owns about a third, firmed nearly 3% on Friday after earlier releasing third-quarter results. Naspers gained 3.56% on Friday to close at a record R3,845. It has risen 92% so far in 2017 and is trading at a price:earnings ratio of 147 times. "Tencent continues to dazzle and Naspers is set to follow," said Avior Research analyst Kevin Mattison. Tencent was now one of the 10 largest companies in the world. "Shareholders should be very pleased by Naspers’s performance," he said. Naspers will release its interim results on November 29. Tencent net profit rose nearly 70% in the quarter to end-September from a year earlier, with strong growth at its mobile-gaming and digital-content divisions. Earnings ros...
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