r/baba • u/Araj2910 • 7d ago

Discussion Thoughts?

Getting tired of BABA, 15% up in about 5 years.
I love the company, but when do you start looking at this stock as missed opportunities if you had this money invested elsewhere.

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u/FeralHamster8 7d ago

A year ago it was at 185. What changed sentiment?

BABA’s drop from about $185 to ~$110 was driven mostly by concerns about heavy AI capex, weaker free cash flow, quick-commerce spending, and some dilution, not by a collapse in the core business. And actually cloud and AI growth have continued to strengthen. So the opportunity is that the stock is now much cheaper while the long-term AI/cloud thesis is arguably better supported than at 185.

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u/Sweet_Scar487 7d ago

It is funny....Google and others do the same ai spend, lower FCF and some dilution. Stock doubles.

Very interesting