Open Sesame!

In the famed {Arabian Nights} E-Commerce story, the poor woodcutter {Ali Baba} Jack Ma chances upon the treasure trove of {40 thieves} Jeff Bezos, learns the {magic spell} business model and discreetly takes home some moolah!

Chinese e-commerce giant Alibaba’s stocks were already up over 80% this year, but after last week’s blockbuster earnings, they went up almost 92% year-to-date! In comparison, Amazon is up just 28% this year.

Revenues soared 56% to $7.5 billion from a year ago, with online sales taking a huge chunk of it. While this was good news for stockholders, short sellers of Alibaba were down a whopping $2 billion in month-to-month losses last week.

Earlier this month, as we wrote in our previous newsletter, Alibaba announced a JV with the Marriott hotels chain, bolstered by Chinese premier Xi Jinping’s forecast that 700 million Chinese tourists will make overseas trips in the next five years.

Alibaba is delving itself into more physical stores in China and has finally been recognized as one of the world’s most interesting companies!

With huge potential to grow in emerging markets and rest of the world, the Jack vs. Jeff dual has just finished round one! Let’s wait and see who will give the Knock Out punch.

This story was originally published as AlphaNews Newsletter on 23-Aug-2017. Subscribe to newsletter to receive such stories onto your inbox