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Investment Thesis
I'm a buyer of Alibaba Group (NYSE:BABA) stock with a decade-long investment horizon. I fully expect the near term to be shaky. The things that have been pressuring the stock will continue to do so
Alibaba: A Play On The Prosperity And Digitization Of The Region
Summary
- Factors that have been pressuring Alibaba stock will likely continue to do so for a while. Volatility will remain elevated over the coming quarters if not years.
- I’m a buyer nevertheless as I see the valuation as extremely attractive.
- I see further upside as I don't think that the growth prospects are reflected in consensus estimates which makes forward multiples even cheaper.
Ex HF portfolio manager, Ex management consultant. Now I manage my own money and focus on anything that can create alpha. I will write on any idea I have and lay out my thesis and analysis openly to get feedback from and discuss with the SA community.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of AMZN, BABA, MELI either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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