Alibaba's recent performance has lagged behind other tech giants like Meituan, and it hasn't outperformed its e-commerce peer JD.com either. The significant pullback and lackluster rebound today suggest that the Q3 results might not be impressive, and it's possible that the company will only start to release better performance figures in Q4. As you mentioned, Alibaba is still undervalued at the moment, and holding it at a cost of $80 doesn't seem to be a burden.
However, the experience of holding the stock has not been very pleasant. In such a situation, selling put options can be a strategy to generate some income and potentially lower the average cost of your position. This approach can be particularly useful when you are confident in the long-term prospects of the company but are facing short-term volatility.
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