Added to YB: 2024-02-16
Pitch date: 2024-02-15
BABA [bullish]
Alibaba Group Holding Limited
+115.98%
current return
Author Info
No bio for this author
Company Info
Alibaba Group Holding Limited, through its subsidiaries, provides technology infrastructure and marketing reach to help merchants, brands, retailers, and other businesses to engage with their users and customers in the People's Republic of China and internationally.
Market Cap
$2.5T
Pitch Price
$72.08
Price Target
96.60 (-38%)
Dividend
0.65%
EV/EBITDA
14.34
P/E
21.78
EV/Sales
2.52
Sector
Broadline Retail
Category
value
Alibaba Q3: It Is Always Darkest Before The Dawn
BABA struggles continue with stock near all-time lows around $58 despite minor Q3 beat. YoY revenue +5.1% but income from operations -35.7%, FCF -30.6%. Segments mixed: Taobao/Tmall meager growth, Cloud improving, Intl Commerce/Cainiao stronger but former unprofitable. Trades at just 13x earnings, 7x FCF far below intrinsic value of $97-$193 assuming 0-5% growth. China real estate & banking crisis creates bargain opportunity for long-term investors.
Read full article (9 min)