2024-05-22 05:15:00 ET
Billionaire David Tepper's recent 13-F filing with the SEC caught investors' attention for an aggressive investment in a surprise stock. The document revealed that his Appaloosa fund increased his stake in China's leading e-commerce conglomerate, Alibaba (NYSE: BABA) , by 159% in the first quarter of 2024.
This comes as investors have avoided Alibaba and other Chinese stocks amid rising U.S.-China tensions. However, such an aggressive stake by a noted hedge fund investor could make some investors rethink Alibaba. If one wants to follow Tepper's move, they should evaluate both the stock itself and the risk tolerances to determine whether that investment is a fit for them.
It goes without saying that risk-averse investors should not follow Tepper's example in this case. Unfortunately for these prospective shareholders, most of the perils of owning this stock remain.
For further details see:
Should Investors Follow David Tepper Into Alibaba Stock?