Alibaba Group (NYSE: BABA) swung to a net loss of £610 million in the fiscal fourth quarter attributed to a recent £2.0 billion anti-monopoly fine.
The NYSE-listed shares of Alibaba opened at £151.75 per share on Thursday and are currently exchanging hands at £147.36 per share. In comparison, the Hangzhou-based company had started the year 2021 at a higher £162.33 per share. Alibaba is currently valued at £399.52 billion and has a price to earnings ratio of 23.08.
Alibaba Group’s revenue was up 64%
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On CNBC’s “Squawk on the Street”, Jim Kramer and David Faber acknowledged on Thursday that the Chinese multinational posted lower-than-expected earnings but also expressed confidence that it is still investing a lot in the business and that revenue number was still up 64%. Kramer said:
“Alibaba makes a lot of money. And that’s the kind of company that I like; that makes a lot of money.”
Mentioning that he has used Alibaba himself, Kramer also lauded some of the other impressive figures in the tech giant’s quarterly results, including 925 million monthly active users on its mobile app.
Wells Fargo started coverage of the Boeing Co
In separate news, Wells Fargo started coverage of the Boeing Co (NYSE: BA) and rated the stock at ‘equal weight’ on Thursday. The investment bank said Boeing is “already pricing in a strong recovery”. United Airlines also said it had started to repair issues with electrical groundings on the 737 MAX. Commenting on Boeing, Kramer said on CNBC’s “Squawk on the Street”:
“I’m not sure about this quarter. I like Boeing, my travel trust owns it, but I am conscious of the fact that this quarter is not that good. We don’t have Chinese certification for them. Boeing got saved, and when travel comes back, they’ll do well. So, Boeing is good to own, but you have to suffer through this quarter because their execution has been questionable.”
Boeing stock jumped about 1% in premarket trading on Thursday and gained another 2% on market open before losing the entire intraday gain later on. At £159.48 per share that gives it a market capitalisation of £93.22 billion, the U.S. aeroplane manufacturer is still more than 10% up year-to-date in the stock market.
Kramer also said on Thursday that it’s difficult to recommend any Ark Innovation ETF stocks.