Is Alibaba Stock a Buy?
Chinese e-commerce giant Alibaba Group (NYSE: BABA) is on a roll. The company is crushing Wall Street's expectations in the COVID-19 lockdown era, and share prices have soared 64% higher in the last 52 weeks. Is it too late to jump aboard Alibaba's skyrocketing bandwagon or is the stock still a buy?
Alibaba's sales rose 30% year over year to $21.8 billion in August's first-quarter report. Earnings increased by 15% to $2.10 per share. The results breezed by Wall Street's consensus estimates, which had pointed to earnings near $1.98 per share on approximately $21.3 billion in top-line revenue.
On the earnings call, CEO Daniel Zhang noted that the COVID-19 pandemic accelerated Alibaba's business in many ways. Consumers are doing more shopping online and enterprises rely on cloud computing resources like the Alibaba Cloud platform to an unprecedented degree.
Source Fool.com
