Alibaba Group Holding Limited (BABA) NYSE stock has been a huge winner since its IPO in September 2014. Alibaba’s business in China looks similar to Amazon’s in the U.S. Alibaba’s cloud-computing business has solid growth.
Alibaba’s video-streaming platform Youku, music streaming service, Xiami are rising. Alibaba also has a licensing agreement with Walt Disney (DIS) unit Buena Vista International for Disney content.
Alibaba continues to deliver positive growth. The company reported a 47% rise in quarterly profit on Feb. 13. Sales increased 36% to $23.2 billion.
Alibaba (BABA) disclosed in an SEC filing Feb 16, 2016 it acquired nearly 33 million shares of Groupon in the fourth quarter. That works out to about a 5.6% stake. This makes Alibaba the fourth-largest owner of Groupon. Shares of Groupon (GRPN) soared more than 40% in midday trading.
Daniel Zhang is a Chinese technology executive. He is currently the CEO of Alibaba Group] Before becoming the CEO, Zhang was best known for his roles as CEO of Taobao and president of Tmall (owned by Alibaba). While running Tmall, Zhang created the Singles’ Day shopping holiday, an annual Chinese sales event with gross sales three times higher than Black Friday and Cyber Monday combined Source: Wikipedia
Further, Alibaba’s strengthening cloud business with its expanding customer base continues to drive its performance. Its New Retail strategy is also gaining momentum. This is aiding growth in Tmall Import, Hema fresh food grocery business and Intime Department Stores.
With strong earnings and sales growth in recent quarters and excellent 12-month price performance, we believe Alibaba Group Holding Limited (BABA) NYSE is a strong buy and room to grow.
Top Institutional Holders
Holder Shares Date Reported % Out Value
Blackrock Inc. 88,193,322 Mar 30, 2020 3.29% 17,151,837,262
Vanguard Group, Inc. (The) 65,926,851 Mar 30, 2020 2.46% 12,821,453,982
Price (T.Rowe) Associates Inc 64,313,239 Mar 30, 2020 2.40% 12,507,638,720
Baillie Gifford and Company 51,146,770 Mar 30, 2020 1.91% 9,947,023,829
State Street Corporation 37,975,313 Mar 30, 2020 1.42% 7,385,438,872
JP Morgan Chase & Company 27,422,506 Mar 30, 2020 1.02% 5,333,128,966
Top Mutual Fund Holders
Holder Shares Date Reported % Out Value
Vanguard International Stock Index-Total Intl Stock Indx 23,038,962 Oct 30, 2019 0.86% 4,070,293,416
Vanguard International Stock Index-Emerging Markets Stk 20,964,466 Oct 30, 2019 0.78% 3,703,792,208
iShares Core MSCI Emerging Markets ETF 15,054,331 Jan 30, 2020 0.56% 3,110,074,241
Price (T.Rowe) Blue Chip Growth Fund Inc. 14,393,030 Dec 30, 2019 0.54% 3,052,761,663
Invesco Oppenheimer Developing Markets Fund 13,180,865 Jan 30, 2020 0.49% 2,723,034,900
Vanguard International Growth Fund 11,394,039 Feb 28, 2020 0.42% 2,369,960,112
Europacific Growth Fund 10,830,643 Dec 30, 2019 0.40% 2,297,179,380
Vanguard/Primecap Fund 8,327,976 Dec 30, 2019 0.31% 1,766,363,709
Alibaba delivered better than expected results in its first quarter. Revenues grew by 35% to $72 billion, reported by Yahoo News and so did net profits by 42% to $19.8 billion. The revenue increase is mainly driven by the growth in its domestic retail business and its cloud computing segment. Gross merchandising volumes crossed $1 trillion as more and more merchants flocked to its platforms to generate online sales. Cloud business revenues grew by 58% year over year
We also see a huge investment from Alibaba in Groupon and further making in roads of a long term partnership.
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