The rise in Chinese tech stocks, including Alibaba, has been influenced by the emergence of AI startup DeepSeek and a meeting between Chinese President Xi Jinping and industry leaders, which improved investor confidence. Alibaba has announced plans to further invest in its e-commerce and AI-driven cloud computing sectors, reporting third-quarter revenue that surpassed analysts' expectations due to strong year-end sales.
Key takeaways:
- Billionaire investor Ryan Cohen has increased his stake in Alibaba Group to approximately $1 billion, representing about 7 million shares.
- Cohen had previously built a significant stake in Alibaba in early 2023 and was advocating for increased and expedited share buybacks.
- Chinese tech stocks have been rising due to the emergence of AI startup DeepSeek and a meeting between President Xi Jinping and business leaders.
- Alibaba plans to invest more in its e-commerce and AI-powered cloud computing businesses, reporting third-quarter revenue above analysts' estimates.