2024-02-07 14:02:19 ET
Summary
- Alibaba Group Holding Limited stock is down nearly 4% after releasing Q3 earnings, wherein management guided for increased spending in 2024 for revitalizing growth within core e-commerce and cloud businesses.
- In e-commerce, Alibaba wants to boost GMV through increased usage frequency. While Alibaba Group Holding will be taking a hit on take rates in the near term, the strategic plan is to monetize via advertising.
- In this note, we shall discuss Alibaba's Q3 performance, capital return program, technicals, and valuations.
Introduction
On the back of releasing a mixed set of numbers for Q3 (Dec-23), Alibaba Group Holding Limited ( BABA ) stock is down nearly 4% in pre-market trading, reversing some of its recent gains. While Alibaba's 5% y/y top-line growth in Q3 is nothing to write home about, I am optimistic about BABA management taking a leaf out of Amazon.com, Inc.'s ( AMZN ) playbook....
Read the full article on Seeking Alpha
For further details see:
Alibaba Just Took A Leaf Out Of A Big Tech Giant's Winning Playbook