--- title: "Michael Burry Says He 'Flipped' His Alibaba Stock into JD and Won't Be Flipping Back — Hong Kong-Listed Stock Falls Nearly 10% on $10B Raise" type: "News" locale: "en" url: "https://longbridge.com/en/news/296735167.md" description: "Investor Michael Burry stated he will not revert his JD.com holdings back to Alibaba following the latter's $10 billion share sale for AI funding, which caused Hong Kong-listed shares to drop nearly 10%. Burry noted that Alibaba's stock would need to fall by half to regain his interest, citing a 'new paradigm' of share issuance. Despite this, he acknowledged Alibaba's impressive progress in the low-cost AI model race." datetime: "2026-08-24T02:21:45.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/296735167.md) - [en](https://longbridge.com/en/news/296735167.md) - [zh-HK](https://longbridge.com/zh-HK/news/296735167.md) generator: "portal-rs" --- # Michael Burry Says He 'Flipped' His Alibaba Stock into JD and Won't Be Flipping Back — Hong Kong-Listed Stock Falls Nearly 10% on $10B Raise Investor **Michael Burry** said he has no plans to move his stake back to **Alibaba Group Holding Ltd.** (NYSE:BABA) from **JD.com Inc.** (NASDAQ:JD), after the Chinese e-commerce giant’s $10 billion share sale to fund its artificial intelligence ambitions sent its Hong Kong-listed shares tumbling nearly 10%. ## **A New Paradigm He Won’t ‘Bless’** “I moved my entire Alibaba position into JD not too long ago. This greatly increased my JD position. I planned to move most of it back after a month or two. No longer,” Burry said in a post on Substack. “Alibaba would have to fall by half for me to get interested again.” On X he said the share sale marks “a new paradigm again for BABA,” and that its return on invested capital will “continue to fall” as a result. > A few months back I flipped my $BABA stock into a large $JD position. I will not flip any of that back to #Alibaba, as issuing shares is now its new paradigm. It would have to fall by half from here for me to look at if again. https://t.co/Yivv8jjkG2 > > — Cassandra Unchained (@michaeljburry) August 23, 2026 Still, ‘The Big Short’ investor said Alibaba is “making serious inroads” in the low-cost AI model race in the U.S., calling it “impressive as a disruptive force” that he expects to continue. **Read Also: My Landlord Owns 12 Houses and Said ‘Just Save $50K for a Down Payment’ — I Make $18 an Hour and Have $400 in Savings** ## **A $10 Billion Bet On AI** Alibaba on Sunday said it will raise HK $80 billion ($10.2 billion) by offering 710 million Hong Kong shares at a 3.6% discount to fund its AI investments, days after reporting that capital expenditure jumped to $10 billion in the June quarter as chip prices rose. CEO **Eddie Wu** said Alibaba’s “full-stack AI strategy” positions the company “to capture the substantial growth of demand for artificial intelligence and AI compute.” ## **Still Bullish On China’s ‘Delivery Wars’** In June, Burry added to his Alibaba position as part of a broader bet on beaten-down tech stocks. He said he still believes China’s “Delivery Wars” will ease into less cutthroat competition and higher margins, a shift he said “will most likely change the narrative for JD and Meituan.” China’s AI push has been gaining real momentum, with domestic developers narrowing the gap with U.S. rivals on both model performance and adoption, even as heavy spending and looser corporate governance around funding new projects raise fresh questions for investors. **COMPANY** **6 MONTHS** **YTD** **1** **YEAR** Alibaba Down 21.89% Down 23.37% Down 4.03% JD.com Up 7.86% Down 0.54% Down 8.19% *Alibaba and JD.com position share performance* Hong Kong-listed Alibaba shares have fallen 17.45% so far this year and 1.20% over the past year. On Monday morning, the stock fell 9.92% to HK$110.80 ($14.44). **Price Action:** The ADRS fell 8.57% on Friday to close at $119.34 and fell 0.28% in extended trading. **Benzinga edge rankings** indicate Alibaba’s stock has a Momentum score in the 25th percentile and a Growth score in the 92nd percentile. **Read Also: Paramount, California Set for Monday Talks Over $110 Billion Warner Bros. Deal as Merger Costs Mount: Report** ***Disclaimer:*** *This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.* *Photo by VTT Studio via Shutterstock* ### Related Stocks - [JD.US](https://longbridge.com/en/quote/JD.US.md) - [KJD.US](https://longbridge.com/en/quote/KJD.US.md) - [09618.HK](https://longbridge.com/en/quote/09618.HK.md) - [BABA.US](https://longbridge.com/en/quote/BABA.US.md) - [09988.HK](https://longbridge.com/en/quote/09988.HK.md) - [03690.HK](https://longbridge.com/en/quote/03690.HK.md) - [PARA.US](https://longbridge.com/en/quote/PARA.US.md) - [WBD.US](https://longbridge.com/en/quote/WBD.US.md) - [89988.HK](https://longbridge.com/en/quote/89988.HK.md) - [HBBD.SG](https://longbridge.com/en/quote/HBBD.SG.md) - [89618.HK](https://longbridge.com/en/quote/89618.HK.md) - [83690.HK](https://longbridge.com/en/quote/83690.HK.md) - [MPNGY.US](https://longbridge.com/en/quote/MPNGY.US.md) - [HMTD.SG](https://longbridge.com/en/quote/HMTD.SG.md) - [PARAA.US](https://longbridge.com/en/quote/PARAA.US.md) ## Related News & Research - [Alibaba’s US$10 billion share sale does not stun just Michael Burry](https://longbridge.com/en/news/296884936.md) - [Michael Burry Exits BABA-W, Does Not Support Latter's Share Placement](https://longbridge.com/en/news/296720098.md) - [Alibaba’s AI Spending Spree Intensifies — Surprise Stock Sale Has Analysts Asking Why](https://longbridge.com/en/news/296767766.md) - [BABA Stock Falls Nearly 4% Amid $10 Billion HK Placement: Analyst Nicholas Mugalli Says Market Reaction is 'Pure Relief' For Shortsellers](https://longbridge.com/en/news/296777972.md) - [10:22 ETXbotGo étend sa présence en Europe et présente ses capacités de suivi multisport basées sur l'IA lors de l'IFA Berlin 2026](https://longbridge.com/en/news/296630127.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**