Alibaba's upcoming results, let's talk about it.
I probably don't need to introduce anything here and we have another contest on Bulios, what's your pick for the end of the week trading prize. But it's certainly no secret so let's write the prize here as well and why do you think so?
A little bit of information to summarize what jumped out at me. Investor " The Big Short" Michael Burry increased his fund's exposure to Chinese e-commerce stocks during the first quarter of 2023. Up to double in Alibaba Group Holding Ltd.
Further, ALIBABA Group Holding's e-commerce division will make a "huge" investment in its Taobao shopping app as the newly created subsidiary seeks to fend off competition from social media platforms. The subsidiary wants to focus on content creation as a channel to bring in more users, and will also launch artificial intelligence (AI)-powered merchant tools, said Trudy Dai, chief executive officer (CEO) of Taobao Tmall Commerce Group.
Analysts have estimated revenue growth of under 3 percent as the industry grapples with China's uneven recovery from the pandemic and the lingering impact of Beijing's crackdown on Big Tech. Last week, JD.com's closest rival posted a 1.4 percent sales increase for the quarter, its slowest growth rate on record.
So what do you think? ... the last few days we've seen growth, will it last that long? I personally have a few shares to buy at $89. I've put a lot of faith in it. I'm hopeful of course and my guess is it could get to $100, but probably not this week. Right now I think we're going to be at around $90. But hopefully it will climb higher and then I'll sell and get out of China. As Buffett and Munger said recently, it's too bad the U.S. and China can't work together and I'm also worried about this Beijing intervention. I just find the environment there so uncertain still.
$BABA could be quick money... Or maybe not. 😁
I don't own the stock, but I certainly follow the action and am interested in the results. Thanks for the status/article.
I find it pretty shaky, I held back for a while about a year, but got out as fast as I could with a gain of about 25-30%.
I don't have it in my portfolio and don't plan to include it yet, it seems like a very turbulent company the last 2 years and somehow I don't know what to expect from it.
What is the current talk about big tech in Cina?:)
Some months ago Michael Burry also invested $2m in First Republic bank. I do not know if he got out of that trade but like everyone, he could be wrong sometimes.
My guess (really just a guess) is $88.5. As I said on soc. networks, industrial production and retail sales in China are lagging forecasts according to new data, so already the $BABA is falling a bit. In terms of results, I saw that EPS is expected to be better than estimates, but sales may lag a few percent.