Group 1: Alibaba - Alibaba's shares have increased year to date but remain down 58% from previous highs due to a slow economic recovery and rising competition in China's e-commerce market [2] - The stock trades at 15 times this year's consensus earnings estimate, presenting a bargain for a company with a strong growth history and dominance in e-commerce and cloud computing in China [2][6] - Alibaba's commerce revenue grew 5% year over year in the last quarter, while its international commerce business saw a 32% revenue increase [3] - The company has 930 million monthly active users on its Taobao platform, indicating a solid user base despite competition from Pinduoduo [4] - Revenue from Alibaba's cloud business grew 13% year over year, with significant potential for growth driven by demand for AI services [5] - Alibaba holds 51billioninnetcash,providingresourcesforinvestmentinAIandmaintainingmarketdominance[6]Group2:DeckersOutdoor−DeckersOutdoorshareshaveseensignificantreturnsbutarecurrentlydown382 billion, suggesting significant growth potential in the athletic footwear market [10] - The stock trades at 24 times forward earnings estimates, which is reasonable for a growth stock, with potential for investors to double their money by 2030 if growth expectations are met [10][11]
BABA(BABA) The Motley Fool·2025-03-05 10:15