To The Moon

Before China's National Day holiday, Chinese stocks surged amid a series of economic stimulus measures. Since Chinese assets were severely undervalued, this bull market shouldn't end soon. However, selecting the right Chinese stocks hasn't become any easier.

When picking stocks, it's worth considering those that have performed well over an extended period rather than just those that have seen a one-day surge. For instance, here are seven US-listed Chinese stocks that outperformed the $S&P 500(.SPX)$ in 2024:

1. $Alibaba(BABA)$

Although the share price of Asian e-commerce giant Alibaba is still far below its 2020 high of around $300, it has rebounded strongly over the past year, almost doubling from its 52-week low, thanks to recent signs of support from the Chinese government.

2. $Bilibili Inc.(BILI)$

Among these Chinese stocks, Bilibili is smaller and not yet profitable, facing competition and regulatory pressures. However, its share price doubled in 2024. The company offers various online entertainment services, advertising, and gaming.

3. $GDS Holdings Ltd(GDS)$

While it may not be as well-known as other Chinese tech companies, GDS Holdings is a key player in China's digital economy, especially in the data center sector. It provides hosting and management services, advocating unique and innovative cloud management values, successfully meeting the high standards of some domestic large customers for outsourced data center services.

4. $JD.com(JD)$

China's leading e-commerce and logistics company, JD.com, is favored by businesses seeking "omni-channel" solutions. JD.com's earnings have surpassed expectations in past financial reports, such as an August report showing a 92% surge in net profit. Future earnings are also expected to continue exceeding market expectations.

5. $KE Holdings Inc.(BEKE)$

Benefiting from favorable policies, China's real estate companies, which have been under pressure recently, are finally showing signs of life. Ke Holdings, a leading platform for housing transactions in China, is a direct beneficiary of this trend. After policy adjustments, the company's revenue growth is expected to reach double digits this fiscal year and in 2025, with its share price jumping by about 20% in a single day in October.

6. $Trip.com Group Limited(TCOM)$

Thanks to the recovery of the tourism industry post-pandemic, Ctrip, the leader in China's online travel bookings, has performed well. Its revenue is expected to grow by over 20% this year and 15% next year.

7. $ZTO Express Inc.(ZTO)$

If you're bullish on China's economic uptrend, ZTO Express, an ultimate cyclical stock, is definitely worth watching. The company provides freight and express delivery services to e-commerce platforms and traditional brick-and-mortar businesses. Analysts expect revenue to grow by 15% and 10% in the next two fiscal years, respectively.