5 Best Ecommerce Stocks to Invest In

2. Alibaba Group Holding Limited (NYSE: BABA)

Number of Hedge Fund Holders: 135

Alibaba Group Holding Limited (NYSE: BABA) provides online and mobile commerce businesses in China and internationally. The company operates various online wholesale markets including AliExpress, Lazada, and Tmall Global, among others. It ranks 2nd on our list of the best ecommerce stocks to invest in.

On June 21st, ZIM Integrated Shipping Services Ltd. (NYSE: ZIM) and Alibaba Group Holding Limited (NYSE: BABA) added two years to their partnership enabling the latter’s e-commerce merchants to book sea freight and other services from the former. In the fiscal fourth quarter of 2021, Alibaba Group Holding Limited (NYSE: BABA) had an EPS of $1.60, missing estimates by -$0.17. Its revenue was $29.05 billion, up 81.18% year over year and beating estimates by $1.13 billion. Alibaba Group Holding Limited (NYSE: BABA) has a gross profit margin of 41.28% and has gained 0.7% year to date.

By the end of the first quarter of 2021, 135 hedge funds held stakes in Alibaba Group Holding Limited (NYSE: BABA) worth roughly $15.49 billion. This is compared to 156 hedge fund holders in the previous quarter with a total stake value of approximately $17.89 billion.

Polen Capital Management recently released its Q1 2021 Investor Letter, where it mentioned Alibaba Group Holding Limited (NYSE: BABA). Here’s what they said:

“Alibaba also detracted from performance as the company continues to remain under regulatory scrutiny from both the Chinese State Administration for Market Regulation on antitrust concerns and the U.S. Securities and Exchange Commission on ADR listing requirements. Despite the regulatory overhang, we believe that Alibaba’s competitive positioning and growth outlook remains intact, even if the company must pay fines or modify some business practices. We viewed the current valuation at <20x next twelve month’s earnings as a compelling opportunity to add to our position. Alibaba is the second largest position in the Portfolio.”