Alibaba Is NOT A Value Trap | BABA Stock Analysis

Paul Gabrail and Mo Hussein do not believe that Alibaba ($BABA) stock is a value trap. To learn why, watch the video above all the way through for a full BABA stock analysis.
#everythingmoney #stockanalysis #valueinvesting #baba #alibaba
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[@flashpadxxx]

Nobody ever said BABA wasnt undervalued and a value trap!!! The problem isnt fundamental

[@EverythingMoney]

What is the problem/s? - GC

[@ahamedchowdhury6106]

the poet is now silent hahaha@@EverythingMoney

[@Goatmeat546]

The entire stock market is experiencing a bubble. A market crash or a massive correction seems imminent. Following this, there's potential for Alibaba to rise.

[@valuations520]

@@EverythingMoney President Panda Bear is the problem.

[@REALMAURUZO]

@@valuations520president Winnie

[@culannthehound94]

Additional problem beyond the mentioned geopolitical issues and Chinese public debt is their economic model. As an export economy they need to keep their currency low to gain advantage on foreign markets. That results in relatively lower domestic consumption and for a company that is compared to Amazon that’s a head scratcher for long term investors. Additionally declining population growth will affect growth in future revenue. Worse the stated increase in Chinese standard of living isn’t a boon for Alibaba. Stronger domestic demand is at odds with current policy of cheap exports. Their government is doing whatever they can to avoid the middle income trap because that will slow down their economic growth or worse lead to a recession as seen in both Japan and South Korea. I would go for the short term gains over the next few years but I’d limit my exposure and jump out as soon as I think macroeconomic headwinds could impact my return. However, current geopolitical tensions make it too risky for me anyways. As a long term investment I’d pass on it and that’s before considering issues with the current government.

[@EverythingMoney]

Yes I think you are right .AP

[@MidwestOptimist]

Love the company everyone hates & be a real value investor. Thank you for covering this! I lowered my cost basis from $123 to $116. $71 is plenty cheap enough. An easy 4 bagger in the next 3 years.

[@moneytalksbyhjgwhite]

In 4 years this will be more than a 4 bagger. If this 3x right now, it would simply good value, and people would start saying Taiwan is a low risk again. People who wait for prices to change to then change their views will never be rich. Just made my own vid on BABA, I love the stock. But I never have predictions, I have targets, if BABA dont hit 150b CNY this year (same as 2019), the stock would need an amazing excuse for me to keep holding. That said, it's an incredible business and should exceed 150b this year easy.

[@mustafakakar7590]

How can we buy alibaba or amazon shares?​@@moneytalksbyhjgwhite

[@zaptosmedia4707]

I own Alibaba stocks, but you guys MASSIVELY undervalue the geopolitical risks with chinese stocks. Ask anyone who owned Russian stocks. Their investment went to 0 over night.

[@simplyforfun9350]

My russian stocks were 300% in the green, went to zero over night. Very frustrating....

[@bigKARTOFFEL-]

i agree but at the same time its not exactly the same cuz china does not have such a history of suiciding their economy for geopolitical gain. i get that they want taiwan but theyre waaaaaay more dependent on the west to just walk in there. russia can pay for everything with oil for now and supply itself thrugh china but china cant do it vice versa

[@JP-dz7zu]

I agree 100%. I laughed at all the NIO investors who saw that stock go from $60 to $7 in a matter of months.

[@EverythingMoney]

Good point...can be risky, all Chinese stocks are. Fundamentally BABA make sense....we will see - GC

[@cianle-ginger802]

​@@JP-dz7zu That wasn't a China issue though, that was a valuation issue

[@robf88]

I'm not really concerned about the geopolitical risks. Those have always been there but what has started to change my thesis a little bit is how China's population seems to be in decline. It's a very top heavy senior population now. And I'm concerned that may prevent growth.

[@EverythingMoney]

Pople all over the world buy from Alibaba and Aliexpress , and is not only Chinese sellers also sellers from other countries sell there .AP

[@ziaulislam87]

Biggest risk isn't geo political but aging collapsing population and deflation China fertility rate is 1.0 with zero immigration America has 1.4 with abundant immigrants Unless Chinese magically improve that 2.1 it's disaster in happening just like what happened in Japan...this will be worse far worse

[@jk35260]

​@EverythingMoney I am not sure what is the exact percentage but I think more than 90% of BABA's revenue is local. China's fertility rate is now the 2nd lowest in the world. In 2023, there were more death than birth. Combine this with exodus of foreigners, it becomes very difficult to fix the property slump even with low interest rate because fewer people are getting married and population has just started to decline.

[@pedroewert143]

The seniors of the future buy online, check all the videos about drone and selfdriving delivery systems in china

[@gliu1431]

If your target is many years down the road you maybe right. For next few years to 10 years unlikely you’ll see the impact but you see more middle class families and millionaires.

[@andypicken7848]

"Or they go over the counter and there you go" One of Alberts sayings comes to mind, "Everything should be made as simple as possible but no simpler" You gotta think deeper guys the world is not always black and white

[@EverythingMoney]

Cool...thanks for the note - GC

[@robertoalvarez3692]

Thank you guys!

[@Chicbjfvb]

What do u guys think will happen to the share price now that they have announced a new ai software for their app.

[@scottreagan9796]

Thanks for continuing updates I'd rather trade the stock market as it's more profitable. I make an average of $34,500 per week even though I barely trade myself.

[@jasonjonathan428]

I'm favoured financially, Thank you Jesus $32,000 weekly profit regardless of how bad it gets on the economy.

[@erickestrada6782]

Once this guy says i believe Alababa is not a value trap, im not touching that stock anymore. You Can't trust this Fake stock market Gurus

[@MidwestOptimist]

The BABA dividend is $1 per ADR. Ex Div date was 12-20-23 Payout date is Jan 18th. It's doubtful that this will be their last dividend. The cash alone on the ballance sheet is approx. $30 per ADR. Making the effectual Price to FCF 4 to 1

[@andypicken7848]

If an investor is hesitant about investing in quoted Chineese companies just consider the risk invoved if Alibaba split and existing share holders gained shares in unquoted private Chineese companies. With the lack of corperate governance an investor may as well just wave their money away.

[@EverythingMoney]

Fair enough - GC

[@tombo45]

In top of what you mentioned. Look at their net cash position: huge!

[@EverythingMoney]

Yes it is ! AP

[@tipoomaster]

A number of Chinese companies look like amazing values compared to western valuations, however the risk is the CCP messing with anything that gets too big as they routinely do. Like forcing them to spin off the high growth cloud business, which was a risk a while ago.

[@EverythingMoney]

Great point - GC

[@MiraPloy]

They didn't force them to spin off the cloud business... and it's not spun off.

[@tipoomaster]

@@MiraPloy No, but there was an effort to attempt to, and generally the CCP has a history of messing with anything that gets too big

[@ukrainechronicles888]

So there is no risk with US/western politicians messing up everything? :)))

[@MiraPloy]

​@@tipoomaster That's just not true, they tried to spin off the cloud business to unlock shareholder value.

[@desiengineer83]

If you own Baba ADR listed on US exchanges, do you get shares of spin off companies? or hi need to own HK shares? Asking this as Adam Khoo made video on baba and mentioned that you need to own BABA HK share to receives shares of spin off companies

[@anooshs6689]

As a caveat to this video, Paul's own brother has pulled out funds from the family portfolio managed by Paul. Its debatable whether Paul knows what he is doing, but if you're looking for an expensive stock screener, he is your man!

[@TheCashFlowCompounder]

You know some stocks which aren't that expensive right now? CROX, VISA, CAT, WDFC

[@TheBoneco77]

How do you know That?

[@anooshs6689]

@@TheBoneco77 he mentioned it himself in one of his videos.

[@jk35260]

BABA is facing multiple headwinds. China consumers sentiments remains weak. Brands like Nike, Yum China, Haidilao and Starbuck are resorting to promotions of "value" products. In short, consumers are still tightening their belt and retailers are resorting to price war to via for business. PDD is doing exceptionally well because its strategy is based on offereing cheap products. Ali Baba ecommerce will continue to face intense competition and margin will weaken. Alicloud is not doing well. China's biggest issue right now is West decoupling, property slump and geopolitical risk. Cheap can get cheaper. You can try to catch a falling knife or monitor vigilantly for clearer signs of recovery.

[@TortoiseInvesting]

Knowing the risks youre willing to take, and keeping yourself knowledgeable of whats going on with said risks I feel is important when you looking into something like Baba, yeah its risky, but doing your homework, keeping up to date with what's going on with the region, will help mitigate some of that risk.

[@moneytalksbyhjgwhite]

I think the biggest risk is not having benchmarks. If you dont create 'lines that must not be crossed' then you are at the most risk.

[@jessehendrickson8534]

Have you guys thought of looking at other Chinese companies such as Tencent or Baidu?

[@TheESLtv]

How much percent you are in minus now, 30-40%?

[@MC-gj8fg]

I don't think too many people are worried about holding stock in the Hong Kong exchange as a general matter. I think people are concerned that shares held on the Hong Kong exchange could be seized not unlike what the west is doing with regards to Russia, should relations between the US and China continue to deteriorate. Anyone know the portfolios of those in Congress or the executive administration? How many of them with international exposure have holdings of any substance in China? That could tell us all we need to know about how safe BABA holdings may be.

[@EverythingMoney]

Great stuff...thanks for the note - GC

[@Martin-kt6fh]

Hello from Czech republic and thank u guys for your channel its very good for my education and its fun to watch your videos! Do you think about making a video of Tencent or something like biggest 5 chinese stocks in the future? :)

[@jacobblack666]

To nevim hele

[@markafari]

what do you think about TCEHY

[@DanWeston3893]

Paul loses somewhere in the range of 60% on BABA last year and takes massive tax loss and now wants you to think he is a genius to buy it now. I bet Russian stocks seemed cheap in the dumb EM software also before they went to zero last year.

[@EverythingMoney]

The software don't work if you don't put your valuations , so if your valuations are wrong its you not the software .AP

[@GeorgesCassab]

How can free cash flow be higher than net income? isn't it subtracted from it eventually?

[@mustafakakar7590]

Plz make a guiding video, how to buy alibaba or amazon shares.. thanks

[@gideaomartins9096]

Great video, short, bs, just pure financial content, congratulations

[@mazharsoufi5270]

it could be the lower end scenario of 17% (safer bet given the risk of china) in 10 years thats horrible return.. considering lead time opportunity loss, as well as inflation?

[@AlfonsoDiSaliz]

Great info ☑

[@EverythingMoney]

Glad you think so!AP

[@chintandobariya472]

6-7 Price to FCF is simply unbelievable 😮

[@TheCashFlowCompounder]

It's completely nuts! But there's still that huge uncertainty due to the CCP's actions and regulations

[@EverythingMoney]

Yes it is , but it's also risky , now can you handle it ? AP

[@chintandobariya472]

CCP risk? Chinese economy is already in struggle!! No good thinking person will further create own trouble by disturbing company with more than 2-4 lakhs employees!

[@waynezw]

@@TheCashFlowCompounder this negativity about CCP is overhyped! The CCP is not new in China! They have been there for 70 years. The CCP is indeed in charge of everything there but I do not think the CCP wants to destroy its own economy! They just make mistakes from time to time but so does the US government!

[@TheCashFlowCompounder]

@@waynezw I'm not being negative about the CCP, I completely agree with you. I'm just saying that it is the main reason why Chinese stocks are trading so low.

[@ericblake8722]

Haven’t been here in a year, seems you guys doing well and growing. Where is the other big bearded guy who was moderating the channel? Haven’t seen him in a few other recent videos

[@ubah40]

I know it's offtopic but have you planned on inviting Tobi Carlisle again on the podcast?

[@musf1k]

Your channel has helped me understand the stock market and value investing as a whole. Thanks for that. ❤

[@EverythingMoney]

Our pleasure!AP

[@adithyaraghurama747]

Thanks for the great analysis, Can you please do analysis on Novo Nordisk ADR ?

[@EverythingMoney]

We'll check it out - GC

[@adithyaraghurama747]

Thanks @@EverythingMoney

[@brettgreen9247]

I would also ask, how many of their products do you or have you used?

[@ancientmachine9070]

none

[@brettgreen9247]

@@ancientmachine9070 exactly. There is no way we can evaluate Chinese companies just based on their earnings power points and project pipelines. Most of us here have never stepped foot in China.

[@EverythingMoney]

Do you know what they do ??? AP

[@brettgreen9247]

@@EverythingMoney what PDD does but increasingly worse

[@Jan-rk8gs]

I have long positions on BABA an Paypall patience is the key

[@hamidboroumandian1816]

Can you comment/do an comparative analysis of BABA's competitors in China i.e. PDD

[@joannothing]

Thanks! 👍🏻🤑👍🏻

[@EverythingMoney]

Any time! - GC

[@lordraja297]

the biggest concern to Alibaba is PDD, JD, Tencent cloud, aws china.

[@EverythingMoney]

Yes those can be competitors, but still companies go to Alibaba to buy , and make their products .AP

[@hpgroup9519]

Please make the same video on JD as well … it has been nearly 2 years since last time made a video about JD Thanks

[@gustavovarela7084]

In the middle of BABA hysteria, Mr Market see that right now values 5 times they yearly FCF...

[@Bitachon]

"If you're a long term investor, bad news is your friend."

[@EverythingMoney]

Nicely phrased...we like it...tx for sharing - GC

[@saifriyami4002]

🤣🤣🤣🤣🤣

[@brendanbingham3481]

You'd be stoked if you were a Lehman Brothers holder in that case.

[@user-sf9fe9ec3p]

I love u bro!more videos time to time on Ali baba

[@Mondrayish]

I'm not worried about geopolitical risks. I'm more worried about the state systematically dismantling Alibaba. Case in point, Ant Group.

[@moneytalksbyhjgwhite]

Explain more, wasnt this before Munger bought into the business? Also China are not the only country that get intimately involved with their private companies. US had debtates about breaking up big tech and have blocked sales, UK blocked Microsoft buying Activision. China just dont waste billions of public money on the build up to terrible decisions lol I also think, as someone who has work with a factory in china for 5 years but not been there, that china have made better economic (economic not social) decisions than the west in recent years. You can question the system these decisions were made, but you do have to look at the decisions objectively also.

[@Mondrayish]

​@@moneytalksbyhjgwhite US debates are, for the most part, empty rhetoric. And is really only there to provide the illusion that the US government is actually doing something in the people's interest. This, in part, reflects a lack of political will to confront corporate power, with politicians being driven by self-interest. Hence, Nancy being "one of the greatest inside traders of all time". Conversely, China's approach involves extensive state intervention cloaked in the concept of 'common prosperity', ostensibly to demonstrate a commitment to the public's welfare. Essentially, this is just a modern repackaging of the 'iron rice bowl', guaranteeing job security and steady income but limiting economic freedom. Both systems have their advantages and drawbacks. In the US, the lack of heavy-handed government intervention allows for the 'invisible hand' of the market to operate more freely, fostering a more vibrant private sector. In China, however, the government's direct involvement often guides economic outcomes, stifling growth and innovation that the free market promotes. The value in Chinese stocks is undeniable. The critical question is whether the Chinese government will allow market forces (the 'invisible hand') to dictate their growth, or if state intervention will continue to play a dominant role in China for the coming years. Also worth mentioning, China's multi-decade boom was not the result of constant state intervention. On the contrary, it was the result of Deng Xiaoping's critical decision to unleash free market forces onto China in 1978 with his economic reforms. Risk management: Position accordingly.

[@Mondrayish]

@@moneytalksbyhjgwhite US debates are, for the most part, empty rhetoric. And is really only there to provide the illusion that the US government is actually doing something in the people's interest. This, in part, reflects a lack of political will to confront corporate power, with politicians being driven by self-interest. Hence, Nancy being "one of the greatest inside traders of all time". Conversely, China's approach involves extensive state intervention cloaked in the concept of 'common prosperity', ostensibly to demonstrate a commitment to the public's welfare. Essentially, this is just a modern repackaging of the 'iron rice bowl', guaranteeing job security and steady income but limiting economic freedom. Both systems have their advantages and drawbacks. In the US, the lack of heavy-handed government intervention allows for the 'invisible hand' of the market to operate more freely, fostering a more vibrant private sector. In China, however, the government's direct involvement often guides economic outcomes, stifling growth and innovation that the free market promotes. The value in Chinese stocks is undeniable. The critical question is whether the Chinese government will allow market forces (the 'invisible hand') to dictate their growth, or if state intervention will continue to play a dominant role in China for the coming years. Also worth mentioning, China's multi-decade boom was not the result of constant state intervention. On the contrary, it was the result of Deng Xiaoping's critical decision to unleash free market forces onto China in 1978 with his economic reforms.

[@Mondrayish]

@@moneytalksbyhjgwhite US debates are, for the most part, empty rhetoric. And is really only there to provide the illusion that the US government is actually doing something in the people's interest. This, in part, reflects a lack of political will to confront corporate power, with politicians being driven by self-interest. Conversely, China's approach involves extensive state intervention cloaked in the concept of 'common prosperity', ostensibly to demonstrate a commitment to the public's welfare. Essentially, this is just a modern repackaging of the 'iron rice bowl', guaranteeing job security and steady income but limiting economic freedom. Both systems have their advantages and drawbacks. In the US, the lack of heavy-handed government intervention allows for the 'invisible hand' of the market to operate more freely, fostering a more vibrant private sector. In China, however, the government's direct involvement often guides economic outcomes, stifling growth and innovation that the free market promotes. The value in Chinese stocks is undeniable. The critical question is whether the Chinese government will allow market forces (the 'invisible hand') to dictate their growth, or if state intervention will continue to play a dominant role in China for the coming years. Also worth mentioning, China's multi-decade boom was not the result of constant state intervention. On the contrary, it was the result of Deng Xiaoping's critical decision to unleash free market forces onto China in 1978 with his economic reforms. Risk management: position accordingly.

[@Mondrayish]

@@moneytalksbyhjgwhite US political debates often descend into empty rhetoric, creating an illusion of acting in the public's interest while showing a reluctance to regulate corporate affairs. This, in part, reflects a lack of political will to confront corporate power, with politicians often perceived as being driven by self-interest. Conversely, China's approach involves extensive state intervention cloaked in the concept of 'common prosperity', ostensibly to demonstrate a commitment to the public's welfare. Essentially, this is just a modern repackaging of the 'iron rice bowl'. Both systems have their advantages and drawbacks. In the US, the lack of heavy-handed government intervention allows for the 'invisible hand' to operate more freely, potentially fostering a more vibrant private sector. In China, however, the government's direct involvement often guides economic outcomes, which could stifle the organic growth that the market promotes. The value in Chinese stocks is undeniable. The critical question is whether the Chinese government will allow market forces to dictate their growth, or if state intervention will continue to play a dominant role in their development. Also worth mentioning, China's multi-decade boom was not the result of constant state intervention. On the contrary, it was the result of Deng Xiaoping's critical decision to unleash free market forces onto China in 1978 with his economic reforms. Risk management, position accordingly.

[@PrajwolBhandari830]

what’s ur portfolio return ?

[@EverythingMoney]

We don't share that .AP

[@Nonametoseehere]

Before mentioned at 3:28 I was also thinking to myself that china’s economy is still recovering from covid 0. Im playing it safer and dollar cost averaging into Alibaba. Im not overall interested in Chinese apart from Alibaba and Baidu. Apart from that it’s all US stocks for me.

[@skoobuh]

This dudes been saying buy baba from the last two years…

[@angel878958778]

What about alipay...where is that?

[@Mooocheropordis]

Changes in management and strategy are a drag on price and competition due to china economy not great. I think these issues will ease, allow price to bounce back. CCP is trying to revive growth after realising been too heavy on regulatory pressure

[@BelleDividends]

Alibaba recently announced that it will be paying a dividend.

[@EverythingMoney]

Thanks for sharing - GC

[@chrisperea]

I see $1 on the charts w/ a 1.39% ADY

[@mustafakakar7590]

Plz guide how can we buy alibaba and amazon shares, or aliexpress

[@godblessamerica6613]

How accurate are the numbers you are using to make your theses on Alibaba. I would like to invest in Alibaba, but I don't trust the financial statement they put out. Their financial statements are not IFRS (International Financial Reporting Standards) certified, but CAS ( Accepted Accounting Principles in China).

[@fkklkomvocl1234gv]

The screener they show does not calculate enterprise value correctly. For starters.

[@GymForLifeHD]

have some, waiting better price would buy more i do not see point buy stocks without having option to buy more

[@EverythingMoney]

Good mindset...thanks for sharing - GC

[@LukeAppia-hk8dk]

What happens if shares go over the counter?

[@EverythingMoney]

They get move to Hong Kong , you have to ask your broker to keep them or sell them .AP

[@luxurylife7464]

I wouldn’t touch BABA with a ten foot pole. The simple fact of the matter: I just can’t trust it. No matter how low the price is. Hard pass.

[@objectivethinker3225]

Paul has been pumping BABA since it was $200 a share. I'm surprised somebody who claims to be so smart is so stupid and doesn't realize the risks involved with investing in a Chinese company. Especially one in tech.

[@EverythingMoney]

We are not pumping anything , we never told anybody to buy any stock , we get asked to do this stocks .AP

[@objectivethinker3225]

@@EverythingMoneyFair enough. To clarify by "pumping" I don't mean for your own personal gain... I mean advocating for purchasing the stock. I believe BABA is a terrible investment based upon; 1. The massive geopolitical risk involved with China (think Taiwan, massive public sector debt, India, ECT), 2. The targeting of the tech sector by China, 3. The historical fraud that has occurred from public Chinese companies falsely reporting their numbers.

[@pavolmoney]

Fair enough. A professional investor I know laughed and told that back then he was convinced that Amazon will be a dead end, because you have to smell and touch the books, no one buys them online, they prefer to go to a store. And Amazon stocks fell 94% or more... Now, more than 20 years later we now that if you buy a lot before it fall 96% and just hold for 20y, you are a rich man. The future is unfathomable. ;)

[@FinancialToolBuilder]

I've done a ton of range trading with BABA in past year. Very profitable. once it's paid back with options trade I want to keep about 5% allocation to $baba

[@valueinvesting6059]

China Yuchai is going to have an earnings beat most likely, and it is trading at less than a third of its tangible book value. It's profitable with loads of cash, almost negative enterprise value business, and has a consistent dividend. Furthermore, the float is small, and I smell share buybacks. The industry they operate in has 5 to 6 year cycles and is about to begin a new up cycle. They created the first commercial hydrogen engine in China. It's crazy. There's so much value here.

[@luckyskivvy6077]

⏰ There is a time value to money. Alibaba is in a +2 year stage 1 base. Buying it before it stage 2 break out is putting your money to sleep like Cinderella. You will make 0% on your money as you wait for Institutional Investors to accumulate enough shares.

[@MoneyPitCastle]

Just statted position today under $70

[@MidwestOptimist]

Charlie Munger initially bought at $226.73. BABA high price was $317.14 on 10-27-20

[@theresamorgavi9196]

Charlie Munger sold out of BABA, he said baba is his biggest mistake finally before he died

[@CorporateShill66]

@@theresamorgavi9196 How long until this channel realizes it and unloads their BABA bags lol

[@EverythingMoney]

He sold nearly half of it , and call it his biggest mistake because he bought at a high price .AP

[@MidwestOptimist]

To clarify the out of context rhetoric everyone seems to continue regurgitating... Charlie Munger said his mistake was that he became charmed about Alibaba's position in online retailing and misjudged the future cash flows because it's just a retailer. There was no mention made whatsoever, that it was a bad business, or poorly ran. Because he simply never believed that. Ever.. As far as Geopolitical risks; he's never said anything of the sort pertaining to investing in Chinese ADRs being risky. Other than the risk being "relatively low among civilized nations". As far as the Daily Journal Corp position, it was sold down to 300,000 ADR shares. From a peak of 602,060 shares. This was to do 3 things: De leverage the position, lower cost basis, and tax loss harvest/offset other gains. Paul and Mo both agree, this is a Long Term investment. Keep up the great work Paul & Mo!

[@brunoradovanovic2408]

Is someone going to explain to Paul that HK shares and NYSE shares is the same thing… if China says that VIE structure is not valid, you dont own anything not on HK not anywhere… you dont own the companyyyyy

[@EverythingMoney]

So my broker lied ? and you are right ? AP

[@brunoradovanovic2408]

@@EverythingMoney No, he told you you can transfer shares to HK that is correct. But those shares in case of VIE structure are same as NYSE and by owning those you don t own equity in Alibaba… so it doesnt matter you can transfer shares you still don t own company and if shit happens it wont help you bcs it is same thing not differetn ownershipr structure.

[@fkklkomvocl1234gv]

@@EverythingMoney It's the same VIE. Hong Kong will shield you against a US embargo on Chinese stocks, ONLY if you use a broker from Hong Kong to own the Hong Kong shares.

[@marcourbina5170]

We just have to remove the NOT. thank you guys! 💛M

[@Goatmeat546]

The market seems unstable, and even though Alibaba is a strong company, there 's a risk of it losing up to 30 % in value due to uncertanites, including geo-political issues. I'm mainitaining a caustious stance, given the potential for significant fluctuations. The maket could crash anytime soon, and Alibaba won't be saved.

[@TheCashFlowCompounder]

Yeah same here! I recently found a couple of incredible growth stocks such as PDD but am holding back from the due to them being Chinese and being faced with that same risk you're talking about. Like your mentality!

[@bouweenvermogen]

Also thinking about DCA’ing BABA 😎

[@EverythingMoney]

Best of luck my man - GC

[@thegamerboneless2864]

I’m surprised it hasn’t been broken into little pieces yet.

[@EverythingMoney]

Difficult to see that...it is a massive company involved in several sectors. Thanks for the note - GC

[@iain777uk]

The way I see it, a lot of Baba investors aren’t actually investing their gambling.

[@topboychris104]

Your numbers on enterprise value seem off. ? As of September 30 2023 in millions $ Total current assets 103,887 Total assets 248,299 Total current liabilities 53,428 Total liabilities 87,931

[@EverythingMoney]

Cool...thanks for sharing - GC

[@lvxsophia]

So what about us with our ADR. Because you have in hkg, not us…

[@Fath-gx9mk]

I AM a bagholder of baba and i am bullish dont get me wrong However I want to disagree with you on one thing If China was the only issue and not Baba, why at the same time PDD went up 70% and baba down?

[@guitarbasssinging]

Pdd holdings beat out alibaba. Foreigners are investing all day long in Pdd because they make money.

[@guitarbasssinging]

It’s not all geopolitics. It’s about what the business investment is. Valuation are great and all BUT IT IS ALL ABOUT THE FUTURE.

[@ramlozano]

Would be interesting if Paul and Mo disagreed sometimes.

[@jimd8752]

Downward channel leads straight to $52. Bears are in full control here and I think we retest the all time lows one last time before a 5 year bull 🐂 run!

[@timlodge8267]

I would not touch Alibaba with a barge pole, the Chinese economy is starting to slide with a lot of international companies starting to pull out of China because of the dictatorship of the CCP.

[@EverythingMoney]

Funny they started to leave now when it has been like this for ever .AP

[@orlasruiz]

Selling PUTS and collecting dividends, waiting for a GREAT Bounce. PATIENCE always pays off

[@EverythingMoney]

Good comment - GC

[@bartzeegers3663]

Own it but wil keep it small

[@Uncle_rizz]

Do a video on Sofi again!!

[@EverythingMoney]

Noted thanks .AP

[@Uncle_rizz]

@@EverythingMoney thank you Paul!!! Love you guys thank you for everything you’re doing. Keep up the great work👍🏽

[@trader4397]

His analysis is spot on though. Idk what these guys are going on about with fake market gurus lmao

[@song1861]

Not a value trap but a Paul Trap lol

[@EverythingMoney]

Thanks for the comment .AP

[@MARKXHWANG]

how much did you lose on baba now?

[@mazharsoufi5270]

But guys didnt Dalio say China is due to a "beautiful deleveraging"? so if that doesnt take place BABA might go down even further

[@EverythingMoney]

Who knows .AP

[@beedeebee179]

I'm so disappointed with baba, have been holding and averaging down since it hit $200. The money could have put into other US tech stock for better return.

[@EverythingMoney]

This is a 5 to10yr investment .AP

[@beedeebee179]

@@EverythingMoney Certainly, strong P/L and B/S.

[@saifriyami4002]

Thanks

[@EverythingMoney]

Welcome - GC

[@blackgeekfandom]

Well, all stock pickers have failures. The panel can all talk about their conviction when it fails. Well, rather, not using their funds in other positions.

[@EverythingMoney]

That's the way it is all companies have something , its up to how much risk can you handle .AP

[@anonymous-ur5tp]

Another challenge for China is also real estate exposure...Analyst is calling out that it will take 5 to 10 years for the housing inventory to go away.... Chinese problem seems to go only when something changes in the way they are governing...The only positive here is if trump comes and China tension ease.....but there is a risk where Xi does some misadventure when US goes into election...I would not put a lot of money TBH...So while Paul is right that there is nothing wrong w.r.t company but he should highlight and discuss in detail the geopolitics, Chinese economy to build a complete picture.

[@luca_151]

3:02 “china”

[@SergiMedina]

I started a position a couple of days ago. Even if it's communist government China, BABA is very good and very undervalued now. Thanks.

[@DerMeister821]

Didn't you guys take like 67% losses, tax loss harvest, only a few months ago.

[@gerardjack853]

Monitoring the evolution of actions in a company is not easy. But when this company is in the crosshairs of the government it will already be harder. And when some of the shares are listed in the United States and there are tensions between the United States and China it will be even harder. So why invest in this style of business. Sometimes we have to ask ourselves why we persist. The brain loves to have an idea, loves to find rules to prove itself right. psychology is really important, knowing yourself is important.

[@moneytalksbyhjgwhite]

all big companies are in the cross hairs of their governements. UK blocking Microsoft Activision Blizard purchase was not for consumers, the goverment weren't happy with the taxes and influence they would be losing. dont my own vid on baba on my channel and worked with a chinese factory for 5 years. We have just soooo much more in common with china than we are different.

[@rolandtoth4361]

$66.28.- Not before

[@Vertexp]

Everyone seems to forget how much China has been investing heavily in the African continent. That will be their next continent they will export to. Alibaba and companies alike will capitalize off that market.

[@fkklkomvocl1234gv]

You've owned the stock for over a year and still haven't even looked at the balance sheet with your own eyes. Lucky for you, the reality is even better than what your "trusty data provider" spits out on your tool.

[@onespeedlite]

Thesis: Alibaba is undervalued because of geopolitical fears and concern about China's growth, not fundamentals. If that is true, then Alibaba's stock price will likely remain the same until these concerns are alleviated. Why would it be different in the next three years?

[@ateampossible]

1:30 under president for life Xi there were many crack downs: on tech, on education, ride sharing… Including the government using the golden shares

[@NomHeads]

It's the first time i go the the comments and see so many negative view on baba. Maybe it's a sign 🤔

[@EverythingMoney]

They loved hating .AP

[@mehmetkochan2526]

Mevcut değerlemeler ile olması gereken fiyat 210$

[@Beefstu96]

I swing traded the stock from 70 to 110s then I pulled out 50% down 18% overall I got put money in some techs that are pumping up!! BABA needs wake up lol

[@EverythingMoney]

Good for you , Alibaba is a long term play , this will not be quick .AP

[@dancingdiamondsjewellersltd]

I bought baba at the lowest last year 😉✅📈

[@EverythingMoney]

Nice , now its just a waiting game .AP

[@collinchin8407]

From what I understand alibaba just recently gave out dividend

[@EverythingMoney]

Yes you are right .AP

[@MidwestOptimist]

$1 per ADR Ex Div Date was Dec 20, payout date Jan 18. Likely not their last. This company is gushing cash.

[@jlcfreitas]

funny because i just bought more of BABA yesterday 😅

[@EverythingMoney]

Thanks for sharing ! AP

[@DogoArgentinoUnleashed]

It was the best of times, it was the worst of times.. bought it at 74$

[@EverythingMoney]

Almost poetic 😉- GC

[@aurimaskancauskis8813]

WRONG...Chinese ADRs are not the same as all the other ADRs. Delisting is not the biggest issue. Based on contractual agreements foreign investors do not own any equity in the Chinese operating companies. Ever heard of greater full theory?