Baba Earnings/Thoughts on where its going

Seeems like Charlie Munger invested a shit ton of money on the 7th of last month in baba, which he said he doubling down the money he spent before when it was 220, the total of revenue for Alibaba has been up almost every year and with tiktok taking its non china business out of Alibaba cloud system, which in response The company has vowed to increase its spending to fund more growth, and as its already growing to the size of amazon, I would say they probably are working something big, more so since they said this a month ago Alibaba (BABA) plans to launch its own processor chip to power its cloud computing business in a move that would see it compete with Amazon (AMZN) and Huawei, Caixin Global’s Zhang Erchi and Kelsey Cheng reports. According to sources, Alibaba’s new chip, based on architecture from Arm Holdings (SFTBY), has been under development since 2019 Along with investing 300 mill into a startup company,, a company that makes self-driving systems or vehicles. The company still has a almost 500 bill market cap which from whats its been through is kinda crazy that it still has that, Tencent a company that baba has partner with and does wechat with just launched 3 new chips for semiconductors One of the semiconductors is an artificial intelligence chip called Zixiao. The chip is able to process images, video and natural language, which could be used for AI voice assistants, for example, that rely on the ability for computers to understand and process human language.The second is a video transcoding chip. These are required to convert videos into different formats.

The third is a so-called network card designed to help cloud computing processes. seems like all tech giants in china are pouring money in semicoductors. BABA themselfs have made their new chip on oct 18 which unveiled its new server chips for use in data centers. Additionally, the company has confirmed the development of proprietary servers dubbed Panjiu. I see them maybe not beating earnings but showing great guidance for the future of their stock and what they want to do with it, right now the stock is trading at a low amount of 164, its so undervalued that I can see it going up on earnings BABAs fundamentals are immaculate, there’s no other way of looking at, of their business really shows. When comparing their bookings to any US tech company in the world, BABA has one of the best revenue to debate ratios, ,the reinvestments, They have made have been great for the company and I can see them doing more into their own company so far they have only missed the mark on one earnings. They have an EPS Growth Rate of +22.4% *Last Qtr and a Revenue Growth Rate of +46.5% *Last Qtr. If they beat estimates once again and how great guidance. I could see the stock getting back to 240 at least by December.

Its seen a increase of traffic on its website to rank 330 in the world, But its also down by total visits to 98.25 a 2% downgrade, but overall its still one of the most visited sites in the world and in china itself

For earnings I would say go long for your strike December or January we also will know how Tencent does in the china market on the 10 next week, a day before baba


Thanks for putting this together. Do you think a bad ER for Tencent will greatly affect BABA?

Do we know when Earnings is? It was supposed to be 11/4, but I didn’t see anything.

Looks like updated prediction is 11/10

Earnings confirmed for Nov 18

BABA has suffered this year from fears of china’s CCP tech crackdown, that really translated to all of chinese tech stocks. I think those fears are abating overall and BABA along with other chinese tech giants will see more institutional investment in the medium to long term.

I currently hold $280/250 Jan23 LEAPs

Realistically BABA as well as other chinese equities could be depressed for much longer especially with fears of evergrande and the rest of their real estate market.