Alibaba Group Holding Ltd (BABA)

[DiscoverGold]

1 Stock To Buy When Markets Open: Alibaba
By: Investing.com | April 3, 2022

Stock To Buy: Alibaba

Alibaba Group Holdings (NYSE:BABA), whose shares have managed to stage a mild recovery since falling to their lowest level since 2016 last month, could see increased buying activity in the days ahead amid easing fears that China’s most valuable technology company will delist from the U.S. stock market.

China's securities watchdog on Saturday proposed revising a key confidentiality rule involving offshore listings in order to satisfy the demands of U.S. regulators, marking Beijing's latest attempt to resolve a long-standing audit dispute with Washington.

The new proposal could open the door to on-site inspections by U.S. regulators, who demand complete access to such firms' audit working papers, which are stored in China. The previous draft stated that on-site inspection of overseas-listed Chinese companies be conducted mainly by Chinese regulators.

The changes will facilitate "cross-border regulatory cooperation, including joint inspections, which will help safeguard interest of global investors," the China Securities Regulatory Commission (CSRC) said in a statement on its website.

The CSRC said that Chinese and U.S. regulators had recently held multiple rounds of meetings and both sides had a willingness to solve their audit dispute so that Chinese firms can remain listed in New York.


BABA Daily Chart

BABA—which has climbed roughly 50% since falling to a six-year trough of $73.28 on Mar. 15—ended Friday’s session at $110.20. At current levels, the Hangzhou, China-based tech giant has a market cap of $313.3 billion.

Despite the recent bounce, Alibaba shares are still down about 7% year-to-date and are approximately 65% below their record peak of $319.32 reached in October 2020.

Alibaba shares collapsed throughout most of 2021, losing more than half their value amid Beijing’s antitrust crackdown aimed at strengthening regulations for companies with consumer-facing platforms and improving data privacy.

Read Full Story »»»

DiscoverGold