|Bid||58.32 x 900|
|Ask||60.81 x 3000|
|Day's Range||59.33 - 59.90|
|52 Week Range||50.45 - 65.97|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.44|
|Expense Ratio (net)||0.59%|
China’s retail sales rose nearly 10% last month, even as growth rate of the broader Chinese economy slowed.
Despite the lingering uncertain outlook with trade disputes not yet settled, Chinese market and country-specific ETFs still offer opportunities for investors. “Regardless of what ultimately happens with the China trade tensions, there is a robustness to China that doesn’t exist anywhere else in the emerging markets,” Lewis Kaufman, a portfolio manager at Artisan Partners, the Artisan Developing World (ARTYX), told CNBC. It’s very difficult to access domestic demand through the vehicles we would wish to use in so many emerging-market countries,” Kaufman add.
Shares of Nio Inc. shot up 6.8% on heavy volume in premarket trading Wednesday, which puts them on track to match its longest win streak since going public 10 months ago, after the China-based electric car maker reported second-quarter deliveries that beat expectations. Trading volume topped 1.5 million shares, enough to make the stock the most actively traded ahead of the open. The company reported earlier second-quarter deliveries of 3,553 vehicles, above its previous guidance range of 2,800 to 3,200. Nio's shares have gained 44.7% over the previous six sessions, the best 6-day performance since it started trading on Sept. 12, 2018. A positive close Wednesday would mark the 7th-straight gain, which would match the record win streak over the 7-day stretch ending Feb. 1, in which the stock rose 20.6%. The stock has dropped 42.1% year to date through Tuesday, while the iShares MSCI China ETF has climbed 11.7% and the S&P 500 has gained 18.9%.
On Monday, major China-focused ETFs ended deep in the red on US exchanges. The iShares MSCI China ETF (MCHI) lost 1.24%.
Alibaba (NYSE:BABA), the so-called Amazon.com (NASDAQ:AMZN) of China, always generates investor scrutiny. That's especially true at this juncture. After a meteoric rise in 2017 when Alibaba stock finally justified its premium, we're now at an impasse.Source: Shutterstock On one hand, the BABA stock price at nearly $169 represents a 23% swing from the beginning of this year. This is an impressive tally, considering that the 380-stock exchange-traded fund iShares MSCI China ETF (NYSEARCA:MCHI) is up less than 12% during the same period. Also, the SPDR S&P 500 ETF (NYSEARCA:SPY) has gained almost 19% in 2019.But on the other hand, Alibaba stock is almost dead-even with 2018's opening price. In other words, shares of the Chinese e-commerce giant haven't moved for over a year-and-a-half. Obviously, that's not the type of performance you want to see if you're a China bull.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFor comparison sake, Amazon shares are up almost 27% YTD. Extended that period to the January 2018 opener and AMZN shows a 59% increase. * 7 Retail Stocks to Buy That Are Down in 2019 Will BABA stock match or even exceed this track record? Or will stakeholders regret holding on too tightly? Here are three pros and three cons to consider: Pro: Trade War Truce Potentially Benefits Alibaba StockUnless you've been living under a rock, you know that the U.S.-China trade war has weighed heavily on global markets. What appeared as a rapprochement between the top-two economies of the world last year deteriorated into a war of words.However, the recent G20 summit in Japan provided an opportunity for both sides to lay the groundwork for a deal. It was a highly anticipated and tense moment for President Donald Trump and his counterpart President Xi Jinping. Though the two administrations didn't disclose many substantive details, we at least have one critical agreement: both nations will delay escalating tariffs.Unsurprisingly, the BABA stock price responded positively to the developments. Since the beginning of June, shares gained more than 16%. This contrasts sharply with the month of May, when tensions flared and Alibaba shares hemorrhaged 21%.The implication is clear: strong U.S.-China relations equal a healthy Alibaba stock. Pro: Regulations? What Regulations?Invariably, whenever a discussion about Chinese stocks stirs, you'll eventually come across their government's notorious control mechanisms. Let's face it: China has an infamous record for censorship and for cracking down on elements their administration finds disagreeable. Under that environment, you might worry about the longer-term trajectory of the BABA stock price.However, for Alibaba and other Chinese consumer-tech firms, like JD.com (NASDAQ:JD), China offers a more agreeable marketplace. That's because so far, neither the Chinese government nor the general public have shown qualms about their push for products and services featuring artificial intelligence. For instance, facial recognition programs raise concerns about online privacy.These issues stymie American tech giants like Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) and Facebook (NASDAQ:FB). In comparison, Chinese companies have free reign to explore their innovations. Logically, this dynamic has favorable implications for Alibaba stock. Pro: BABA Stock Receives Flagship SupportOne of the things you should understand about Chinese stocks is that this segment is very political. Whereas American companies are largely driven by the profit motive, Chinese blue chips represent both profiteering and patriotism.What do I mean by this? China has very ambitious goals, such as their "Made in China 2025" initiative. If you keep up on geopolitical news, you'll realize that they're not satisfied with merely being big. They want to be the biggest and the baddest, essentially replacing the U.S. from its tech leadership role.This is the reason why the trade war is so heated. We're not just fighting for the here and now. Instead, we're looking decades down the road. As such, you can expect BABA stock to receive maximum support from the Chinese government. Con: Truce Is a "Show Me" NarrativeAlibaba stock may have popped following the G20 summit. Since then, however, shares have not impressed, moving sideways as if seeking more substantive news. I'm not surprised one bit.Quickly, the much-covered trade war truce transitioned into a "show me" narrative, and I can't blame the markets for it. Too many times, we've seen head-fakes in this arena. Late-last year, the global investment community anticipated an eventual trade deal. Instead, we got fiery social media posts from the executive office.Therefore, absent an actual deal, a cloud will hang over the BABA stock price. Because at any point, this unsteady relationship could rapidly soar. And if it does, we've already witnessed how much things can deteriorate. Con: U.S. Has a Credibility CrisisUnderstandably, many equity bulls have held out hope that the U.S. will eventually sign a lasting trade deal with China. Because we live in a globalized economy, we can't afford to think, let alone operate in isolation. And despite rhetoric to the contrary, the uncomfortable truth is that the U.S. and China need each other for growth.That said, the bear case against a trade deal is also very strong. The biggest problem affecting investments like Alibaba stock is that the U.S. has a credibility crisis. Currently, we have a worsening relationship with an increasingly belligerent Russia. We have potential flash-points in North Korea and Iran, despite the Trump administration exercising diplomatic caution. On top of that, our allies generally regard us as unstable.Under that context, President Trump can't afford to show weakness with China. Moreover, the U.S. must keep the Chinese government accountable for their unethical business practices and intellectual property theft. Otherwise, it signals to everyone else that it's open season on the U.S.But obviously, don't expect China to play nice on this issue. Con: Chinese Consumer Market Probably Worse Than You ThinkOne of the biggest headwinds facing Chinese stocks is that you don't really know what you're getting. China has always played fast and loose with their economic figures. Subsequently, more than a few analysts have raised questions about Alibaba's accounting practices. * 10 Stocks That Should Be Every Young Investor's First Choice Even BABA stock isn't what you think it is. As InvestorPlace contributor Will Healy and many others have brought up, BABA is actually a share in a Cayman Islands-based holding company. Generally speaking, though, stakeholders have ignored these warning signs because the China narrative is so remarkable.That could change in the coming years, and maybe a lot sooner than some experts anticipate. Early this year, The New York Times reported that Chinese consumer sentiment slipped noticeably. I really doubt that things changed in half a year: due to China owning the more dependent economy, this prolonged trade war hurts them more than it hurts us. Bottom Line on BABA StockI can appreciate why so many bulls love BABA stock. Essentially, China owns the world's largest market for anything of importance. To win in business means you must win in China. Naturally, Alibaba benefits from home-field advantage.However, the trade war represents a paradigm shift in how the U.S. and others approach this Asian juggernaut. In many ways, President Trump exposed the dirty underpinnings of Alibaba stock. And that's why I think investors should cool off on shares until at least the geopolitical headwind is gone.As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 A-Rated Stocks to Buy for the Rest of 2019 * 7 Education Stocks to Buy for the Future of Academia * 5 Stocks to Buy as You Rebalance Your Portfolio The post 3 Pros, 3 Cons for Buying Alibaba Stock appeared first on InvestorPlace.
DouYu International Holdings Ltd. said Monday it has set terms of its initial public offering, in which the China-based game-centric live streaming platform could raise up to $628.95 million. The company said it will offer 44,924,730 American Depositary Receipts in the IPO, while selling stockholders will offer an additional 22,462,380 ADSs. The ADS are expected to price between $11.50 and $14.00 each, and are expected to list on the Nasdaq exchange under the ticker symbol "DOYU." Every 10 ADS will represent one ordinary share. The company said there will be 32,462,368 ordinary shares outstanding after the IPO, suggesting the company could be valued at up to $4.54 billion. the company reported a net loss of RMB876.3 million ($130.6 million) on revenue of RMB3.65 billion ($544.5 million) in 2018, after a loss of RMB612.9 million on revenue of RMB1.89 billion in 2017. The company is looking to go public at a time that the Renaissance IPO ETF has soared 37.5% year to date, while the iShares MSCI China ETF has gained 12.0% and the S&P 500 has rallied 18.6%.
Shares of Nio Inc. surged 5.1% toward a six-week high in afternoon trading Monday, putting them on track for a fifth straight gain. The gains in the China-based electric car maker's stock got a boost in the wake of better-than-expected deliveries data from Tesla Inc. , out early last week. Shares of Nio, referred to by some as the Tesla of China, have now rocketed 34.5% during its win streak, while Tesla's stock has gained 3.7% and the S&P 500 has edged up 0.1% over the same time. That would market the best 5-day performance by Nio's stock since it ran up 34.9% during the five-session stretch ended Feb. 26, 2019.
The U.S.-listed shares of Nio Inc. surged 4.5% in very active afternoon trading Friday, as the China-based electric vehicle maker continued to get a boost from Tesla Inc.'s better-than-expected deliveries data released earlier this week. Volume swelled to 24.5 million shares, enough to make it the most actively traded on the NYSE. The stock's rally extends the 11% surge on Wednesday, which came on the back of a 4.6% gain in Tesla's stock after the U.S.-based EV maker reported the deliveries data late Tuesday. Since Nio's stock started trading in the U.S. on Sept. 12, 2018, it has a +0.72 correlation coefficient with Tesla's stock compared with a correlation coefficient of -0.10 with the iShares MSCI China ETF , according to an analysis of FactSet data. A correlation coefficient of +1.00 indicates a perfect match. Nio's stock has tumbled 49% year to date, while Tesla shares have shed 29% and the S&P 500 has gained 19%.
Although the S&P 500 and other American indexes fell sizably yesterday on Powell’s less-dovish tone, China’s key indexes remained sideways today after opening lower and gaining in early trade. The Shanghai Composite Index dropped 0.2%, while the Shenzhen Component ended flat. The CSI300 Index lost 0.18%.
Trade tensions are high heading into 2019, and it's not looking like the U.S. or China are going to be making any resolutions this new year. Authorities in the two countries have enacted new tariffs on products that are commonly exchanged, including cars, smartphones, and soybeans.
While Asian markets were mixed, China’s Shanghai Composite Index gained 0.21% to end on a positive note for five days in a row. However, the tech-heavy Shenzhen Component ended in the red today.
China’s benchmark Shanghai Composite Index is having a good week. The index rose 2.4% on June 20 to an eight-week high. The index rose in the first half of the day and reached the day’s high.
After weeks of drama and volatility, the global markets seem to be surging as if nothing had ever happened. On June 18, US indexes surged as President Donald Trump confirmed that he would be having an extended meeting with Chinese President Xi Jinping next week at the G20 summit.
We're now in the second half of June. With the Fed meeting scheduled for this week and the G20 summit scheduled for next weekend, global markets seem cautious. While no rate cut is expected in this week’s Fed meeting, Fed chair Jerome Powell’s dovish comments earlier this month have been helping the markets.
Asian Markets Turn Bearish as China Says It's Not Afraid to FightTrade war here to stay?Yesterday, Asian markets largely shrugged off Trump’s comments about imposing fresh tariffs if he and Xi Xingping don’t meet in China. Markets in fact rose