News about Alibaba

U.S.-listed Chinese internet stocks Alibaba (BABA), JD.com (JD) and PDD Holdings (PDD) fell about 3.6%, 3.8% and 3.5% midday Wednesday, while the S&P 500 and Nasdaq rose. The Hang Seng Tech Index dropped 1.26% to 3,994.77, below 4,000 and its lowest since October 2024, while the Hang Seng closed 0.9% lower at 23,651.87. The KraneShares China Internet ETF (KWEB) lost about 2.5%, as U.S. tech stocks advanced on AI interest and news about SpaceX and Tesla. SPCX rose about 8% after reporting 161% revenue growth in the third quarter, and Musk said both companies had formed special committees to discuss a possible merger. The 10-year U.S. Treasury yield was near 5.1%, and Alibaba had reported a 75% profit decline for the June quarter.

Alibaba (NYSE:BABA) shares fell 5% to $103.67 in morning trading, while JD.com (NASDAQ:JD) dropped 4% to $25.65 and PDD Holdings (NASDAQ:PDD) fell 4% to $78.21. The KraneShares CSI China Internet ETF (NYSEARCA:KWEB) slid 3% to $23.53, while the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) rose 0.5% to $772.84. The article says the three stocks fell by similar amounts despite different business models, from Alibaba's cloud and AI spending to JD.com's direct retail and PDD's discount marketplaces including Temu. It also cites a Reuters report that ByteDance, Alibaba and Tencent placed large orders for an NVIDIA workstation chip allowed under U.S. export limits, though NVIDIA may be able to fill only a small share of them.

The article compares Alibaba (BABA) and Home Depot (HD), two large consumer stocks pursuing different growth paths: digital commerce and cloud for Alibaba, home improvement retail for Home Depot. For the fiscal year ended March 31, 2026, Alibaba reported revenue of about $153.3 billion (up roughly 2.7%), net income of about $15.5 billion, a net margin of about 10%, and free cash flow of approximately negative $7.6 billion. For the fiscal year ended February 1, 2026, Home Depot reported revenue of about $164.7 billion (up roughly 3.2%), net income of about $14.2 billion, a net margin of about 8.6%, and free cash flow of about $12.6 billion. Debt-to-equity is about 0.2x for Alibaba and 5.1x for Home Depot. Home Depot faces a class action lawsuit over data privacy and alleged unauthorized use of license plate readers, while the article notes Alibaba trades at a lower valuation than Home Depot on forward P/E and P/S.

Arrvel has added a line of thermal printers for e-commerce sellers and small businesses, led by the A42BT, a Bluetooth 4×6 shipping label printer compatible with major e-commerce platforms. Its direct thermal technology needs no ink, which makes upkeep simpler and cheaper. In other trading, Ryohin Keikaku rose 9.7% to ¥4,811, near its 52-week high, and its board is considering a surplus distribution ahead of the November shareholders' meeting. Fujian Dongbai fell 10% to CN¥10.97. Alibaba settled at $111.17 (up 0.3%), while Amazon ended at $254.08 (down 1.7%) amid reports it is in talks to acquire AI startup Decart for around $7 billion, and MercadoLibre fell 2% to $1,839.11.