alibaba: why now is the time to buy - what's the best air purifier to buy

Alibaba's (BABA -Get Report)
The information for this quarter is different.
This time, instead of avoiding a trade war, Alibaba decided to face these issues. on.
Fundamentally, Alibaba is a fast-growing enterprise group that is seriously undervalued.
The reason is: Alibaba's cooperation
Founder and Executive Vice Chairman Joseph Tsai shook the charts at the earnings conference call last week.
He wants investors and analysts to be fully aware that while he expects trade talks to be resolved soon, Alibaba's chances are much greater than many might realize.
That is to say, China's commitment to become a big consumer
The Led economy means it will become a net importer in the next few years.
This is the key downwind of its platform, sometimes misunderstood by shareholders.
As China continues to grow from its export economy, consumers will look forward to the reliability and effectiveness of Alibaba's platform's consumer products and services.
Thinking of Alibaba, it is important to consider that the platform has more than 0. 65 billion active consumers each year.
What does this have to do?
First of all, because it shows that although Alibaba may just be a familiar name in the U. S.
The scale is absolutely huge.
But more importantly, even in China, Alibaba's platforms are far from being fully infiltrated. Case in point --
Over the past year, Alibaba has added more than 100 million active consumers each year, of which more than 70% are from less developed cities in China.
Alibaba acknowledged that the platform has new consumers, especially those from less developed regions.
On the first level, more mature consumers are starting to spend less on the platform.
At first, how new customers started by participating in Alibaba's social media platform, and then entered a very basic internet search before trying to shop and consume online.
But over time, as new customers start to trust the platform, they will continue to increase their spending.
This emphasizes once again the long term of Alibaba.
Long-term growth prospects remain strong. In the U. S. , Amazon (AMZN -Get Report)
Continued market share growth and continued chaos continue to be the company's top priority.
But let's focus on the very different business models of Amazon and Alibaba.
Amazon's growth is so capital.
Despite being considered one of the most expensive companies in the world, the creation of its free cash flow is still impressive.
On the other side of the planet, however, investors can buy an asset --
Generate light and free cash flow for e-commerce
Business competitors
In fact, Alibaba's cash flow is very free. Despite the high level of investment, its net cash position is still RMB 58. 9 billion ($8. 5 billion).
In addition, for the huge victory of shareholders, Alibaba chose to implement the share repurchase plan.
Starting in September 2018, it cut its share repurchase program by $6 billion and deployed $1.
6 billion to March 2019 the end of average cost for 144 dollars. 04 per share.
This directly increases the long-term value of Alibaba.
Long-term shareholders, given that at the time of writing this report, Alibaba's share price was about $164 per share.
The above form needs some explanation.
On the surface, Alibaba's revenue seems to be the most valued among its peers.
But this is not the case.
In fact, the reason why Alibaba's revenue is so high is because its business model is very light, because its ecosystem operates infrastructure to a large extent --
For free, its business is mainly focused on charging sellers.
Next, excluding acquisitions, Alibaba's revenue grew 39% year on year. over-year.
This growth rate is not only the strongest among its global technology peers, but also reinforces the view that paying 20 times the operating cash flow means that investors will never pay too much for Alibaba.
Given the long term of Alibaba
Investors have misunderstood and worried about the potential impact of the trade war, and Alibaba's share price has declined.
But in fact, we now have a great buying opportunity for patient investors to diversify through rapid investment.
The growing free cash flow has generated very low-value business enterprises.
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