2024-05-13 22:15:41 ET
Summary
- Alibaba's stock rallied 5.7% today ahead of its highly anticipated March quarter earnings release, with analysts expecting $30.42 billion in revenue and $1.42 in EPS.
- The earnings release will provide insights into China's economic rebound and Alibaba's efforts in generative AI and cloud computing.
- Alibaba today trades at low multiples despite having multiple bullish catalysts, such as rapid growth in AliExpress and wide adoption of the company's Tongyi Qianwen chatbot in China.
- For these reasons, I consider BABA a buy and remain long.
- However, attempting to "play" the stock's earnings is a bad idea because BABA does not usually react to earnings in the expected way.
Alibaba Group Holding ( BABA ) rallied 5.7% today, ahead of tomorrow’s highly anticipated earnings release. The release will be the company’s first since Hong Kong stocks began trending upward last month. Analysts are expecting $30.42 billion in revenue, up 0.03%, and $1.42 in EPS, down 9%....
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Alibaba: Own It, Don't Play Earnings