$Alibaba(BABA)$  Base on this Share Repurchase Update (Oct 2nd), it's pretty clear that management has repurchased 353 mln ADRs (for a whoppin...USD 27.6Billion!!?) corresponds to 13.66% outstanding shares on a non-dilutive count since Dec'22 quarter which coincides with 2 years duration since start of share repurchase program.

Simple calculation would tell you that, your stake in the company would've grown in aggregate 15.82% over the past 2 years. Taking the USD 4B in dividends issued this year, total shareholder returns would total USD31.6B. 

If you held the shares on June 13th at closing price USD75.68/share, a USD1.66/share dividend equates to 2.19%. Therefore, Baba has returned 18.01% to her loyal shareholder over the past 24mths. 

Modify on 2024-10-03 16:54

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  • Max87
    ·10-04

    $Alibaba(BABA)$ This analysis tells us that :

    "Management can't promise you what price the market is going to price them at tomorrow; however what it can do for you is taking care of your interest by sharing more of their earnings & always keeping you in mind."

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  • Max87
    ·10-03
    4/ In summary, you're getting the Global front runner in AI Open-sourced Large Language Model which also happens to be top the Cloud Provider in China & Asia & the most successful Work-collaboration app (Microsoft Teams 365) in China & leading e-commerce platform with leading e-payment business for an amazing price while returning +8.62% higher than a utility company.... basically that's it. wheww ...
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    • Max87
      btw work collaboration app is Dingtalk.
      10-03
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  • Max87
    ·10-03
    3/ Lastly, an +18.01% shareholder return in 2 years corresponds to a +8.63% annual CAGR. This is higher than most utility companies. phew crazy when you actually calculate it.
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  • Max87
    ·10-03
    Also, not to mention, that a quarterly repur hased of USD 4-5B is in agreement to Baba's average free cash flow per quarter over the past 5 years which also tells you that, they barely touch their cash & cash equivalent in their balance sheet. Therefore, you're not even losing a cent on the book from this massive rate of shareholder return.
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  • Max87
    ·10-03
    5/ The #'s speaks for itself. This value proposition is truly unrivalled.
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  • AuntieAaA
    ·10-04
    GOOD
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  • Max87
    ·10-03
    Guys if you don't mind also like my comments for the Algo to increase visibility & traffic.
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