Nasdaq BABA Alibaba

Wall Street's main indexes fell on Tuesday as growth stocks extended declines, overshadowing a rise in energy shares after oil prices pared back gains on OPEC+ output concerns.

Wall Street's main indexes were little changed on Tuesday as growth stocks extended losses, while a rise in energy shares on the back of higher oil prices helped stave off declines.

We’ve come to the second to last trading day of the month, with only December remaining for 2022. For those still hoping we might see positive returns for the year overall, that ship has sailed: we’re -15% on the S&P 500 year to date, following gains of +27% and +16%

Tuesday, November 29, 2022We’ve come to the second to last trading day of the month, with only December remaining for 2022. For those still hoping we might see positive returns for the year overall, that ship has sailed: we’re -15% on the S&P 500 year to date, followi

Chinese technology conglomerate Alibaba Group (NYSE: BABA) remains as tempting as ever for investors. The company, one of the largest companies in one of the world's largest economies, continues sliding, now down 76% from its peak.

U.S. stock index futures were largely flat on Tuesday, with the Nasdaq set to open slightly higher as Tesla led gains among beaten-down growth shares.

Consumer stocks were climbing premarket Tuesday. The Consumer Staples Select Sector SPDR Fund (XLP) was up 0.04%, and the Consumer Discretionary Select Sector SPDR Fund (XLY) was 0.80% higher recently.

Alibaba Group Holding Ltd plans to sell a stake of about 3% in Indian food delivery firm Zomato Ltd worth $200 million through a block deal, CNBC Awaaz reported on Tuesday, citing sources.

Chinese e-commerce giant Alibaba Group Holding Ltd plans to sell a stake of about 3% in Indian food delivery firm Zomato Ltd worth $200 million through a block deal, CNBC Awaaz reported on Tuesday, citing sources.

U.S. stock index futures edged higher on Tuesday, with Tesla leading gains among beaten-down growth stocks amid hopes that the recent protests in China could lead to a quicker easing of strict COVID-19 curbs in the country.

Alibaba ( NASDAQ: BABA ) stock has  declined by 41% over the past year and about 76% from its all-time high level back in 2020. It's not surprising that investors have sold off Alibaba with a passion. In a high-tension geopolitical environment, international stocks lose their appeal. Combine that with the lack of trust attached to Chinese equities due to corporate governance issues and the Chinese government's crackdown on big tech, and the perfect storm for Alibaba quickly formed. However, with the stock still trading near lows, investors should revisit Alibaba's investment case. At this point, the potential reward could overshadow the risks. Nonetheless, due to tons of speculation involved, I am neutral on the stock. Were Alibaba's Q3 Results Actually That Bad? Alibaba's bulls were hoping that the company's Q3 results would end up being a positive catalyst for the stock. Alibaba is known for its ability to deliver rich bottom-line numbers. With the stock trading this low, it makes sense to expect another profitable quarter would be enough to revive interest in the company. So, seeing Alibaba post a net loss of $3.2 billion for the quarter evaporated all sense of hope, but were Alibaba's Q3 results actually that bad? At first glance, the $3.2 billion net loss definitely appears frightening. However, some context is needed to shed light on this number. Specifically, the sole reason the company posted a loss is due to the decrease in the market prices of Alibaba's equity investments in publicly-traded companies. For instance, Alibaba owns a controlling stake in Alibaba Health Information Technology ( OTC: ALBHF ), whose shares have lost close to 1/4 of their value over the past year. In fact, interest and investment losses amounted to nearly $6.0 billion in Q3, which, again, are the sole contributor to Alibaba's negative bottom line. Operationally, however, the company remained robust while its free cash flow soared!  Revenues came in at $29.1 billion, up 3% year-over-year, which is quite impressive given the ongoing macroeconomic headwinds that have affected global commerce as well as China's zero-Covid policy. Further, Alibaba's adjusted EBITDA jumped 68% to $3.5 billion, while its EBITDA margin actually improved by 400 basis points to 21%, which is a great result considering this is a highly-inflationary environment that we are experiencing. Finally, with Alibaba reducing its capital expenditures, free cash flow skyrocketed 61% to $5.0 billion, implying a free cash flow margin of 17.1%. How Cheap is Alibaba Really? When valuing Alibaba, we need to make sure we don't take the company's non-cash losses (or gains) into account, as they can wildly sway its net income, as was the case in its Q3 results. With that in mind, based on Alibaba's year-to-date performance and Q4 outlook, Wall Street expects the company to post adjusted earnings per share of $7.27 this year, which implies the stock is currently trading at a forward P/E of around 10.8x. One argument is that, obviously, this is a ridiculously low multiple, given the company is growing in a treacherous environment, and net income growth should even accelerate once the markets calm down. The fact that Alibaba has already repurchased approximately $18 billion of its shares under its share repurchase program, which was even boosted by an additional $15 billion recently, should further confirm this. Further, it's worth mentioning that since Alibaba is trading at such low valuation levels, share repurchases will be massively accretive to earnings per share in the coming years. On the flip side, you can argue that investors don't even care about Alibaba's valuation multiples. As long as scrutiny over Chinese equities persists and geopolitical risks remain, investors might as well just avoid Chinese equities like Alibaba altogether, regardless of how cheap they are. The risk of something going amiss regarding holding Chinese equities actually materializing may just not be worth taking on. Is BABA Stock a Buy, According to Analysts? Turning to Wall Street, Alibaba has a Strong Buy consensus rating based on the 15 unanimous Buys assigned in the past three months. At $133.73, the average Alibaba price target implies 76.2% upside potential. The Takeaway: A Buy for Speculative Investors Only It seems that nobody would oppose the idea that, from a plainly financial point of view, Alibaba shares are trading at a massive discount - so much so that the stock could double from here, and you'd still have a hard time arguing that it's expensive. In that sense, assuming the stock's valuation normalizes at some point, investors could enjoy exceptional returns from a P/E expansion alone. That said, it's entirely speculative whether investors are willing to flip the switch in their minds that would result in Alibaba's sentiment changing, and by the time they do, who knows what the stock's risk profile could look like at that point? Accordingly, while I would consider Alibaba a Buy numbers-wise, it could only be for speculative investors only. Disclosure

Wall Street's main indexes fell on Monday as protests in major Chinese cities against strict COVID-19 policies sparked concerns over economic growth and dragged commodity-linked shares lower, while Apple slid on worries about a hit to iPhone production.

Wall Street's main indexes were set to open lower as protests in major Chinese cities against strict COVID-19 policies reignited concerns about economic growth, while Apple slipped on a report of disruption in production at a factory in China.

The NASDAQ 100 Pre-Market Indicator is down -81.13 to 11,674.9. The total Pre-Market volume is currently 40,503,173 shares traded.The following are the most active stocks for the pre-market session: Taboola.com Ltd. (TBLA) is +1 at $2.84, with 9,310,299 shares traded. As reporte

China's Pinduoduo Inc beat Wall Street estimates for third-quarter revenue on Monday, helped by COVID-related lockdowns in the country that forced consumers to shop online, sending its shares up 10% in U.S. premarket trade.

U.S. stock index futures fell on Monday as protests in major Chinese cities against the country's strict zero-COVID policy re-ignited concerns about economic growth, while Apple shares slipped on a report of disruption in China production.

It's been challenging to hold Alibaba's (NYSE: BABA)stock over the last two years as it lost more than 70% of its market value.

Amazon’s AMZN cloud-computing arm Amazon Web Services (AWS) launched a new cloud region in India to expand its cloud footprint in the Asia Pacific (APAC).The new region marks the second Indian hub for AWS, located in Hyderabad.The AWS Asia Pacific (Hyderabad) region compr

Alibaba (BABA) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.

The NASDAQ 100 Pre-Market Indicator is up 3.37 to 11,728.21. The total Pre-Market volume is currently 19,786,958 shares traded.The following are the most active stocks for the pre-market session: ProShares UltraPro QQQ (TQQQ) is +0.03 at $22.10, with 3,306,625 shares traded. Thi