Alibaba: Value Trap or Potential Turnaround?

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  • Опубліковано 16 вер 2024

КОМЕНТАРІ • 53

  • @mikechiew3770
    @mikechiew3770 6 місяців тому +7

    Alibaba free cash flow is around 20B per year, yet mkt cap is only 175B, if they aggressively buy back around 15B a year, the share price while be multi times, now that softbank has sold, with steady buyback, Alibaba will be fine

  • @panamood7455
    @panamood7455 6 місяців тому +4

    Love your sg/china episodes. Keep the good work!

  • @REDREDStrawberry
    @REDREDStrawberry 6 місяців тому +5

    ML say its a absolute BUY!

  • @Roy_0692
    @Roy_0692 6 місяців тому +4

    Omoooo finally a video on Alibaba!!! Thanks guys!

  • @mcl4896
    @mcl4896 6 місяців тому +8

    CKI (1038) is substantially owned by CKH (1). So why not buy CKH instead where their Price/Book Ratio is 0.33 & Dividend Yield is 7.24% ??

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому +3

      Great question! CKH is a conglomerate with diverse assets across various sectors, while CKI is a pure-play infrastructure asset. Conglomerates typically trade at a discount due to the complexity involved in valuing them, which often prevents them from reaching their full value compared to pure-play companies. Hence, the difference in their respective P/B ratios.

    • @kinboon3138
      @kinboon3138 6 місяців тому

      May be you could do one on CapitaLand Invest vs their REIT@@TheFifthPersonChannel

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому +1

      @kinboon3138 We recently did a roundtable on CapitaLand Investment! You can watch it here: ua-cam.com/video/femN2KmqApE/v-deo.html

    • @kinboon3138
      @kinboon3138 6 місяців тому +1

      Thank @@TheFifthPersonChannel

    • @seeker9912
      @seeker9912 6 місяців тому

      many of CKI assets is hampered by the 2047 issue. what happens to HK assets post 2047.? this makes HK investible until this issue is resolved.
      don't risk your money with this hanging over you

  • @user-pe7kr7bv6g
    @user-pe7kr7bv6g 6 місяців тому

    Not sure about CKI. If you want global infra, better get something like Brookfield. Equally impressive dividend growth, have been at it for a long time, still investing and growing, no need to worry about HK/China. Agree on Alibaba.. have been waiting for comeback for 5+ years now... one day ;-0

  • @estherlaleonardo7391
    @estherlaleonardo7391 6 місяців тому +4

    Can discuss BYD?

  • @yf6601
    @yf6601 6 місяців тому +2

    Good stuff as always!

  • @samtan7641
    @samtan7641 6 місяців тому +1

    Good day - saw this high yield fund but do not understand their term, anyone can explain
    The NAV is $5around

  • @jk35260
    @jk35260 6 місяців тому +1

    After purchasing JD following their earnings report, I became aware of the significant decline in car sales in China. This highlighted the ongoing structural challenges within the Chinese economy. The potential repercussions of collapsing car companies on the economy prompted me to sell JD at a modest profit.
    Investing in the Chinese market is complicated by the country's structural issues and concerning economic indicators. The primary risk factor stems from the underlying economic challenges in the property sector and deflation. The company fundamental is secondary.

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому

      Good on making a profit! Yes, some investors are concerned with China's macro and long-term demographic issues.

    • @frv6610
      @frv6610 6 місяців тому

      I read in an online small HK newspaper that according to Chinese government the economy is actually very/excellently good, it just looks like a decline now because China is evolving its industry from low/medium complex and quality production to very high complex and quality. I guess it is like when a store has temprorarily closed because it is being renovated and upgraded. Do think this is the reason? ​@@TheFifthPersonChannel😊

  • @kq1965
    @kq1965 6 місяців тому +5

    how about an episode on Tencent, which i think it has better metrics.

  • @OsamahSaif
    @OsamahSaif 4 місяці тому

    Great input guys... Can you put more light why you would prefer owning AliBaba stock from Hong Kong vs New York giving the fack currency risk...

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  4 місяці тому +1

      We avoid the U.S. delisting risk. The HKD is pegged to the USD anyway, so any currency risk is the same.

    • @OsamahSaif
      @OsamahSaif 4 місяці тому

      @@TheFifthPersonChannel thanks for your input

  • @user-bk9jx9ed7o
    @user-bk9jx9ed7o 6 місяців тому +1

    will there be a different position while trading in Hkg or US platform?

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому +5

      We prefer the Hong Kong listed shares, so you avoid the U.S. delisting risk.

  • @hatchegg80
    @hatchegg80 6 місяців тому

    20x ebitda is 0 rates era valuation, think about it, 20x ebitda is maybe 30x pe with some rough assumptions

  • @alanccvoo
    @alanccvoo 6 місяців тому +2

    its great value if you ignore the world politics ...expecially when the world is moving to multipolarity.. then you realise it is a value trap bec US is going all out to remain as the world Hegemon..whether it is Biden or Trump... no difference

  • @jimd8752
    @jimd8752 4 місяці тому +1

    Going straight to the $50’s! The very definition of dead money!

  • @staypeace3691
    @staypeace3691 6 місяців тому +1

    why you highlight for hk market. Is there a difference between us and hk market?

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому +2

      Yes, there's a difference between the U.S. and Hong Kong markets

    • @staypeace3691
      @staypeace3691 6 місяців тому +1

      @@TheFifthPersonChannel can help enlighten me why hk market market is preferred in this case?

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому +2

      So we can avoid the U.S. delisting risk.
      asia.nikkei.com/Politics/International-relations/US-China-tensions/Chinese-companies-switch-auditors-to-avoid-U.S.-delisting-risk

  • @hjmhf
    @hjmhf 6 місяців тому +1

    No mention about regulatory risk? A Chinese/HK company having a monopoly at a western country in a critical sector, always attracts negative attention 😂so the risk premium is actually priced into the yield

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому +2

      We mentioned one regulatory risk where utility rates could potentially go lower when they reset. If you're referring to the threat of nationalisation of critical infrastructure by Western governments, we think that is unlikely as that would severely impact investor confidence. However, Western governments may prevent foreign entities like CKI from expanding and acquiring more critical infrastructure. Our two cents!

  • @ignatiusee3564
    @ignatiusee3564 6 місяців тому +2

    Opportunity of a lifetime. Sell everything to go ALL IN!!!

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому +3

      Haha no. Don't do that

    • @hiteshwar143
      @hiteshwar143 6 місяців тому

      😆😆😆😆😆@@exploringapis4495

    • @ditolum
      @ditolum 6 місяців тому

      @@exploringapis4495. dumber dumbo retails

    • @ditolum
      @ditolum 6 місяців тому

      @ignatiusee3564 typical dumbo retail mindset

  • @germinc
    @germinc 6 місяців тому

    i heard rusmin say to call "core" alibaba hehehe

  • @DesmondSG
    @DesmondSG 6 місяців тому

    Would Rusmin consider changing his way of pronouncing China? Or has he been secretly doing a Donald Trump impression all this while..

  • @kentan-tu3be
    @kentan-tu3be 6 місяців тому +1

    Not to forget the biggest elephant in the room, the Chinese government.

    • @TheFifthPersonChannel
      @TheFifthPersonChannel  6 місяців тому +3

      Yes, investing in China/Hong Kong would assume someone is somewhat comfortable with that elephant.

  • @seeker9912
    @seeker9912 6 місяців тому +1

    Imvestment in China cannot ignore Taiwan issue. All China military planning and mindset towards a possible invasion. It is extremely unwise to invest in China with this looming risk. Even manufacturing supply chains that have been in Chuna for decades are shifting out so it is rather stupid for investors to.come in to buy "bargains" when the whole structure is going possibly going down. Russian stocks were also very cheap with PE ratio of 6 one day before Ukraine invasion...all the "value" investors die c..k standing!
    This channnel should really wake up your idea. Look what happened to that undervalued pick called HK land please learn from mistakes ...instead of thinking withjn value investing frame work and think you are a smart contrarian. Because you are not.

    • @mjmf1430
      @mjmf1430 6 місяців тому

      Chuna? You can’t even spell China properly you think your comments could even make any sense? 😂