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Alibaba Group – Buy Entertainment Stocks

Alibaba is a perfect example of what ace investor Mohnish Pabrai would call a spawner. It started as a B2B e-commerce business. However, over the years, it has spawned companies in B2C retail, entertainment, cloud computing, and fintech. It has multiple revenue streams and benefits from essential moats like network effects, data acquisition thanks to its range of apps, and scale economies thanks to being the largest retailer in the world by GMV. If you are searching for the best cloud stocks to buy right now, then Alibaba is among the leading names other than Amazon or Microsoft. There have been some concerns lately regarding Chinese tech stocks and the communist party’s views on how businesses should function for the “social good” of the country. However, Alibaba continues to be one of the most well-known tech stocks and a true spawner.

Some Interesting Facts About Alibaba

Alibaba is currently the star of China’s tech industry. However, things were not quite the same when the company started from its humble beginnings. An interesting incident occurred when Jack Ma, the charismatic founder, was slated to give a speech in a 500-seater venue. When he showed up, there were only three people. This is ironic because Jack Ma is well-known for giving speeches and is a very good orator. Taobao, one of the most successful businesses of Alibaba, was a response to eBay growing its presence in China. Alibaba had a particularly intense rivalry with eBay. It is believed that eBay tried to persuade Bill Clinton to not give a keynote address to one of Alibaba’s summits. Taobao was created by 6 Alibaba employees who were asked to resign from Alibaba and work at a secret location. Alibaba’s rise has been meteoric, and it has stakes in a film company, does music streaming, and has signed a bunch of deals with music companies. If you want to buy entertainment stocks, then it may be worth looking at Alibaba.

Best Cloud Stocks To Buy Right Now

Alibaba is listed on the New York stock exchange as an ADR stock. It trades by the ticker symbol BABA. Since October 2020, the stock has been in a downtrend. It is down 48% from its October highs.


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