Home     About Us    Contact Us     Contribute     Privacy
Mutual Funds
Related Categories
Tip of the Day

Tip of the Day Pay Your Bills On Time

Pay Your Bills On Time - We all get behind on our bills every once in a while, but when it becomes a constant practice it starts to cost us...

read entire tip

Recently Added
Other Great Sites

Alibaba Group Holding Limited (BABA), The Behemoth


We have written about the Alibaba before when BABA just started its IPO.  We have stated that BABA’s potential, please see http://www.teenanalyst.com/stocks/The-biggest-IPO-Ever-Alibaba-Group.html”>Biggest IPO Ever Alibaba Group.  Now almost two years later the stock has finally returned to its all time high set around Nov, 2014.

(Source: http://finance.yahoo.com/quote/BABA?p=BABA)

Is it still right time to buy?  My recommendation would be yes.  As you can see its past earnings over the last couple years and the last quarters, BABA have increased its earnings.


(Source: http://finance.yahoo.com/quote/BABA?p=BABA)


With a profit margin of 42.61%, Quarterly revenue growth of 58.8%(yoy), and a PE of 37.85, you might think 37.85 is sort of high, but when you look at Amazon.com Inc (AMZN) has a PE of 210.26 with profit margin of 1.6% and quarterly revenue growth of 31.1%.(yoy), you see BABA is comparative more than undervalue by the US market.  There are valid reasons of course, first is that the company operates in P.R. of China, which is a pseudo capitalist system where the communist party trumps all.  Second China has been try to divest itself from a manufacturing powerhouse to a service/technology oriented economy.  Third is that most American investors just don’t understand the size of reach of Alibaba as a company.  Let me try to answer each of these three claims.  First, it is true that Alibaba operates in a communist regime, but only in name.  Communist party’s survival depends on the strength of the country’s economy. There’s an old saying in China, Government is like a boat as people are like water, water can float the boat and or sinks it.  The last thing the government want to do would be to stop progress of the economy, and Alibaba play a huge part in it.  Secondly, it’s true because rise in human labor and environmental concern, China is trying to shift its focus from manufacturing, but Alibaba is evolving as well, Alibaba has divested into other areas such as digital media & entertainment, travel, logistics, cloud computing, payment & financial services.  Its core commerce business which includes Taobao.com, Tmall.com, Alibaba.com, Lazada, and Aliexpress are benefiting from the rising of middle class in China as the country is switching from an export dependent country to a self sufficient/import economy.  The best way for all foreign brands to test their products in China would be to partner with Alibaba core commerce group.    

As you can see, Alibaba’s future is still bright, and at around $106/share as close of business Oct 5, 2016, there is still room for growth for long term investors.  As with investments, it’s very important for you to do your own homework.  More can be found in its quarterly and annual financial report.  Happy investing!

Discuss It!
1 2 3 4 5 >

happy new year 2017 hd wallpapers said:

for more to know about new year 2017 greetingcards, hd wallpapers, poems, wishes, shayari and quotes

Cold Fusion Project Help said:

This is really great work. Thank you for sharing such a good and useful information here in the blog for students.

http://snaptube-apk.com said:

Exploring several options in an effective manner will help you in getting the desired features providing you with the left handed gaming mouse concepts in a creative manner.

dissertation writers online said:

This post including on rating is very beneficial for me because now i have something special to share with essay writer to make a flow of knowledge. I really like the different but beautiful setting and theme of this page because that is attractive not only for me but for every visitor. Admin Password said: IP Administration Router Login Admin Password

write my essay said:

Alibaba is a very large group in the internet marketing now a days, the founder of this group is no doubt a very humble and respectful person this is why he touches the success very soon.

10TH RESULTS 2016 said:

Tamil Nadu 10th Result @ tnresults.nic.in Name wise with marks Pass Percentage Available here

check here said:

Pretty good post. I just stumbled upon your blog and wanted to say that I have really enjoyed reading your blog posts. Any way I'll be subscribing to your feed and I hope you post again soon. Big thanks for the useful info.

check here said:

Brilliant article. You have done a pretty good job today. The information was fantastic to read. I am very impressed with this work from you. Thanks for doing this. Keep up the great work.

check here said:

I needed to thank you for this extraordinary read!! I certainly getting a charge out of each and every piece of it I have you bookmarked to look at new stuff you post.

anti aging mask said:

Alibab groups are one of the business groups which provide best products services. The graph clearly shows the growth of this group in recent years. Customer satisfaction is their main aim so they were able to achieve this success in few years.

party planner los angeles said:

I get details about many important terms related to business and marketing from this site. It is the new information to me that Alibaba started the first IPO. I got the clear picture of Alibabaâs business from this site

obat panu di apotik said:

keren kaya aing ya

best seo service in calgary said:

There are substantial reasons obviously, first is that the organization works in P.R. of China, which is a pseudo entrepreneur framework where the socialist party trumps all.

buy assignment said:

Alibaba is a very large group in the internet marketing now a days, the founder of this group is no doubt a very humble and respectful person this is why he touches the success very soon.

pay for essay said:

thanks for the pointers they are really helpful with writing an essay (which I struggle with); but what about writing an exemplification essay?

GBWhatsApp Apk said:

nters they are really helpful with writing an essay (which I struggle with); but what about writing an exemplification e


CBSE RESULT http://cbse-results.ind.in/ CBSE RESULT-10TH CLASS http://cbse-results.ind.in/10th-class/ CBSE RESULT-12TH CLASS http://cbse-results.ind.in/12th-class/

solo ads for sale said:

Thanks a lot for sharing your informative blog. All the information are extremely helpful.

blue waffles in men said:

thanks very much for the blog

Most Popular Articles
Most Popular Definitions
Daily Definition

Definition of the Day Conversion Option

Conversion Option - a conversion option is a feature on certain preferred stocks and some bonds... This feature would allow the shareholder to covert their shares into common stock. Preferred stock, also known as Capital stock, provides a specific dividend that is paid before any dividends are paid to common...

read entire definition




Home     About Us    Contact Us     Contribute     Sitemap


Copyright © 2009 TeenAnalyst.com