Traded ValueDay 8 - My Investment Diary
Operations: holding $Alibaba(BABA.US)
Insights: $Alibaba(BABA.US)'s Q3 FY2026 earnings showed consolidated adjusted EBITA falling 49% YoY to 71,314 million RMB, but the post frames this as intentional reinvestment into AI, with Cloud Intelligence revenue surging 36% and AI-related products achieving triple-digit growth for 10 straight quarters.
By consolidating e-commerce units like Taobao and Tmall, Alibaba sacrifices legacy margins to fund Qwen AI integration across logistics and travel, amassing 300 million MAUs and betting on AI agents dominating future Chinese transactions.
The bullish thesis urges revaluing $Alibaba(BABA.US) as an AI infrastructure play over retail, noting the EBITA hit as "customer acquisition" if growth persists, countering market fears that drove shares down 5% post-release.
@Bridge Buzz SG
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