RAJAH88
05-13
$Alibaba(09988)$  


An easy buy. My analysis are as follows;

1. Alibaba is undervalue. There is no question about this.

2. Following on Point 1, one must then evaluate the nature of Alibaba business

3. The E-commerce continue to be strong. While there are competitors but it is unlikely to replace Toabao and Tmall. Take for example Douyin and Tik Tok, while there is a strong e-commerce Element, I doubt if it will really fly. who will waste time watching live streaming. If you have financial power, you probably just buy it directly in TMall rather than wasting time watching live streaming. Similarly, PDD is just a dollar shop business. Nothing substantial and just a hype.


4. Ali next potential is in Alicloud and Artificial intelligence. If it do well in this segment, it will just take off.


5. I believe that to See if the stock is a buy, ask yourself, if you have the money to wholly owned and buy entire alibaba, will you do it given its free cash flow. For me that is a 100% yes and hence I am convinced to buy even it hit $80 or $85.


US-China Dialogue: Is a Spring Coming for China Stocks?
On the 16th, Trump stated that the US and China working together could solve all the world's problems. He made this remark during a press conference at Mar-a-Lago in Florida. "China and the US can solve all the world's problems together. Think about it, it's important," Trump said. Following the news, both Hong Kong and Chinese stocks saw slight gains. Do you believe in a bullish New Year rally for Chinese stocks?
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