Alibaba is China's biggest online retailer. Founded in 1999, it provides an online marketplace for both consumers and merchants where they can buy and sell from one another.
In addition to its online marketplaces (Tmall Taobao, and others), traditional stores, cross-border and foreign marketplaces, and along with its Cainiao logistics division, Alibaba generates almost all its revenue and profits from its e-Commerce segment. The company also receives a growing share of its revenue from Alibaba Cloud, the largest cloud infrastructure platform in China. When Alibaba went public in 2014, it was just over 15 years old.
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History of Alibaba
The Alibaba Group was founded in 1999 by Jack Ma, a former English teacher from Hangzhou, China. From the start, the founders of the company — comprising 18 innovators of eCommerce including Ma — shared a belief that the Internet could enable small businesses to level playing field against bigger companies by utilizing innovation to develop and take advantage of available technology to compete more effectively at home and abroad.
Alibaba Group began as an eCommerce website helping small and medium-sized businesses in China reach global markets. Today, it offers products across the spectrum of commerce, digital media, cloud computing, and entertainment, as well as ushering innovation initiatives.
What is Alibaba's Stock Symbol?
Alibaba is listed in the New York Stock Exchange and other major exchanges in the world as BABA (Alibaba Group Holding Ltd – ADR), while on the OTC market, Alibaba is listed as BABAF.
Both signify Alibaba Group, but BABA is listed on the NYSE, whereas BABAF is listed on the OTC market. This means both BABA and BABAF are traded differently and its respective trading volumes are different also.
Alibaba's Price History
In September 2014, Alibaba, the world's largest e-commerce company and cloud computing provider, first went public. Its stock price immediately rose 38% on its first day of trading, helping its market capitalization reach $231 billion.
In October 2020, Alibaba's market capitalization surpassed $850 billion at the time of achieving its all-time high of $319 share price. This paved the way for Alibaba to be on course to become the first trillion-dollar Chinese company.
Alibaba Stock Split
BABAF (Alibaba Group Holding Ltd) shares have split in the past, but BABA shares have yet to split. Alibaba performed an eight-to-one BABAF stock split on July 15, 2019. At that time, their available share count soared from four billion to 32 billion.
Alibaba Stock After Hours
This section shows Alibaba’s after hours trading by summarizing its last sale, after-hours high and lows as well as the after-hours volume. A separate chart showing the after-hours and volume in relation to the corresponding after-hours time is also shown.
Remember that investors may trade during the Pre-Market hours from 4:00 - 9:30 a.m. ET and during the After-Hours Market from 4:00 - 8:00 p.m. ET.
Alibaba Stock Chart
eToro's trading platform offers many great features, one of which is the integrated charting tool. These charts are very detailed and change over time, so it's easy to see Alibaba's stock performance at a glance. If you want to go further about their performance, there is also the ProChart feature which allows you to do more in-depth analysis.
This chart displays the stock performance of Alibaba in the past 12 months and also has options to view stock charts going back to many years.
Alibaba Stock News
Alibaba stock: is it worth buying? Will the stock increase or decrease? If you want to follow the latest developments of BABA on eToro's social investment network, then the best way to do that is via Alibaba's trading page or by following some of eToro's top traders. This will show all relevant current events that are being talked about and are affecting the stock price of Alibaba to keep you updated on the latest news about this company.
Here's a tip:A large percentage of the news related to Alibaba (BABA) stock has been driven by moves by Chinese financial regulators, who have been increasingly interfering, imposing fines and restrictions on other giant companies in China, including Tencent (0700), Didi (DIDI), Meituan (3694) and Pinduoduo (PDD).
Why Alibaba Stock is Down?
Alibaba’s stocks went down after achieving its all-time high in October 2020 due to selling of Chinese tech stocks following the government's increased regulations, as well as moderated growth and increased competitive movement.
Alibaba's Chief Financial Officer Maggie Wu pointed out the slowdown in China’s consumption growth. In addition, CEO Daniel Zhang noted that competition has increased in the company's core commerce business.
Despite these temporary drawbacks, Alibaba expects its top line to grow by 20-23% in 2022 due to the slowdown and increased competition. However, this is lower than the earlier forecast of 30% growth.
Alibaba Stock Forecast
Alibaba could generate $248.9 billion in revenue and 78.89-yuan ($12.22) earnings per share in fiscal 2025 if it meets analysts' expectations over the next two years and then continues to grow at 20% for another two years.
eToro has a "Research" tab on the Alibaba trading page where you'll be able to get an overview of BABA forecasts according to the consensus of various analysts. You will see several detailed stats about recent traders and trades. This module also provides you with recommendations for price targets in accordance to ratings by 25 analysts.
Take note: You need to register an account with eToro to be able to access the research data. Keep in mind that your account has to be verified and will need to have an initial deposit. Once you have done so, you will be able to see all the information available for people with funded accounts.
Should I Buy Alibaba Stock?
Alibaba has a track record of impressive growth that is hard to beat. The company’s annualized earnings have grown 27% for five years in a row.
For example, during Alibaba’s Singles Day in November 2020 — China’s biggest shopping day similar to the United States’ Black Friday — the company exceeded expectations as sales nearly doubled from the year-ago period to $74 billion. Despite the slowdown in its core e-commerce business caused by the 2020 Covid-19 pandemic, the company has been able to remain in growth mode. Alibaba's business in China mirrors the business model of Amazon's in the United States. Like Amazon's thriving web services business, Alibaba's cloud-computing business is showing solid growth.
With all these strengths in company performance and positive innovation forecast, Alibaba’s stock remains a solid choice for investors looking to hold on to a strong performing stock long term.
According to more than 50 investment analysts polled by CNN Business, Alibaba Group Holding Ltd is a good stock to buy. Ratings have remained unchanged since November, when it was a buy.
How to Trade Alibaba Stock?
If you want to trade Alibaba stocks but don't have enough, one of the most affordable and accessible options is through the eToro trading platform. Here, you can invest in real shares of Alibaba and trade them on a non-leveraged buy position. In turn, this will allow you to build your investment over time without taking huge risks.
CFD trading is another accessible way to invest in Alibaba stocks. CFD trading lets you take a position without having to own a share. Leveraged trading also gives investors full market exposure in exchange for a small initial investment known as margin.
By trading CFDs, you can speculate on both Alibaba’s share price rising and falling.
How to Buy Alibaba Stocks on eToro?
- Login or create an account with eToro if you don't have one.
- Enter "Alibaba" or "BABA" on the search bar, look for the Alibaba result under the Markets category, and click on its corresponding "Trade" button.
- Enter the amount you wish to invest and set the stop-loss, leverage and take-profit according to your trading preferences.
- Click "Open Trade".
Are you ready to trade Alibaba shares?
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Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.
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