Chinese stocks are looking cheap. Fund manager explains why he's betting on Alibaba

  • 📰 CNBC
  • ⏱ Reading Time:
  • 28 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 15%
  • Publisher: 72%

South Africa News News

South Africa South Africa Latest News,South Africa South Africa Headlines

China stocks have plummeted since last year, and valuations are now looking compelling, but tech titan Alibaba is no 'value trap,' says portfolio manager Sid Choraria.

as one, investors would have to believe that the e-commerce giant's growth will be in the single digits, said Choraria of SC Asia.

Choraria said Alibaba's growth is healthy, well in the double digits for its e-commerce and cloud-computing businesses. "If Alibaba generates the type of cash that it is [making], it's not a value trap at these levels. Now, if it's … only at low single digits, it's going to turn out to be a value trap," he said.

"As a fund manager, I'm betting on Alibaba," he said. "I like the odds with Alibaba for the next 5 to 10 years," noting, however, he has "no idea about the short term."

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Let’s goo.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in ZA

South Africa South Africa Latest News, South Africa South Africa Headlines