Latest news with #ChineseEconomy
Globe and Mail
15-05-2025
- Business
- Globe and Mail
Why JD.com Stock Slumped on Thursday
Although 's (NASDAQ: JD) recently released first-quarter results pleased many investors and analysts, not everyone has been overly bullish on the company. Early Thursday morning, an analyst made a relatively assertive price target cut on the stock, and the market reacted by trading it down by almost 4% on the day. A double-digit chop Well before market open that session, Susquehanna International's Shyam Patil reduced his price target by more than 10%, cutting it to $40 per share from his previous $45. That didn't change his overall estimation of the stock, as he maintained his neutral recommendation. According to reports, Patil expressed admiration for the company's first-quarter performance, writing that user experience improvements were catalyzing growth in the user count. He feels that the Chinese e-commerce giant is also well positioned in its market, and could benefit from ventures into new segments such as food delivery. That said, however, the relatively shaky Chinese economy could limit potential, in his view. Patil also believes that this state of affairs could persist; hence the price target reduction and neutral outlook. Could this be a sleeper stock? Getting slightly more bearish on is a somewhat counterintuitive move these days. That's because the company posted quite encouraging year-over-year growth, especially on the bottom line, in the aforementioned quarter. It also notched rather convincing beats on the consensus analyst estimates. This indicates that the Chinese macroeconomy might be in better shape than many believe. I wouldn't count out quite yet, especially if it continues to improve its fundamentals so impressively. Should you invest $1,000 in right now? Before you buy stock in consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $620,719!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $829,511!* Now, it's worth noting Stock Advisor 's total average return is959% — a market-crushing outperformance compared to170%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of May 12, 2025
Globe and Mail
15-05-2025
- Business
- Globe and Mail
Why Alibaba Stock Is Sinking Today
Shares of Alibaba (NYSE: BABA) are plunging on Thursday. The company's stock was down 7.9% as of 12:43 p.m. ET and fell as much as 8.3% earlier in the day. The steep decline comes as the S&P 500 (SNPINDEX: ^GSPC) edged up 0.3% and the Nasdaq Composite (NASDAQINDEX: ^IXIC) was up 0.1%. The Chinese tech giant reported quarterly earnings that fell significantly short of Wall Street's expectations. Alibaba misses earnings targets Alibaba reported weaker-than-expected results for the quarter ended March 31. Its net income of $1.71 million (12.38 billion Chinese yuan) was well below analysts' expected $2.93 billion. Revenue grew 7% year over year to $32.58 billion, also falling short. Growth slowdown raises concerns The 7% revenue growth rate is less than previous quarters, pointing to a deceleration and highlighting issues in Alibaba's core e-commerce business. The Chinese economy isn't recovering the way many investors had hoped, and consumer spending has not returned to levels analysts had forecast. Alibaba also faces increased competition from and Temu domestically, while AliExpress, Alibaba's international marketplace, is reeling from the U.S.-China trade tensions. AliExpress also faces competition from Temu and Shein, as well, of course, from Amazon. The short term could be bumpy While Alibaba faces significant challenges in the near term, the company is making significant investments in artificial intelligence (AI) and building for the future. Still, with a rocky domestic economy and international trade wars, the company's stock could struggle for some time. However, long term, I think Alibaba will succeed, and with a price-to-earnings ratio (P/E) a little over half of that of Amazon, its stock is attractively priced. Should you invest $1,000 in Alibaba Group right now? Before you buy stock in Alibaba Group, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Alibaba Group wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $620,719!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $829,511!* Now, it's worth noting Stock Advisor 's total average return is962% — a market-crushing outperformance compared to170%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of May 12, 2025 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon. The Motley Fool recommends Alibaba Group and The Motley Fool has a disclosure policy.
CNA
15-05-2025
- Business
- CNA
Alibaba misses quarterly revenue estimates
Chinese e-commerce giant Alibaba reported quarterly revenue that missed Wall Street estimates on Thursday, as the firm works on new strategies to keep consumers spending amid persistent economic weakness and global trade uncertainties. The company reported revenue of 236.45 billion yuan ($32.79 billion) in its fiscal fourth quarter ended March 31, compared with analysts' estimates of 237.24 billion yuan, according to data compiled by LSEG. ($1 = 7.2107 Chinese yuan renminbi)
Bloomberg
14-05-2025
- Business
- Bloomberg
Tencent's Revenue Climbs 13% After Gaming Gains Momentum
Takeaways NEW Tencent Holdings Ltd. 's revenue beat estimates after growing its gaming and social media portfolio through a persistent Chinese economic slowdown. Revenue for the three months ended March rose to 180.02 billion yuan ($25 billion), versus an average estimate of 175.6 billion yuan. Net income for the period rose 14% to 47.8 billion yuan.
Yahoo
12-05-2025
- Business
- Yahoo
China's Exports to U.S. Plunge as Tariffs Alter Global Trade Map
China said exports to the U.S. plunged in April, as the Trump administration's tariff assault forced the world's second-largest economy to redirect more of its goods to Southeast Asia, Latin America, Europe and Africa. Chinese shipment of goods to the U.S. dropped 21% in April from a year earlier, while exports to the bloc of Southeast Asian nations known as Asean surged 21%. The figures underscore the degree to which U.S. tariffs on China have altered the global trade map.
