Over the past two years, the Chinese e-commerce giant Alibaba Group Holding Limited (BABA) has dealt with approximately $2.8 billion in fines by regulators in China for monopolistic behavior, the country’s declining economic growth, and a rush of new e-commerce competitors.
However, this year, China’s reopening after the lifting of COVID-19 restrictions and further easing of regulatory woes are doing wonders for the e-commerce major. Moreover, BABA recently announced a major reorganization, splitting its company into six business units to unlock shareholder value. Given its solid fundamentals and promising growth outlook, I think BABA is an ideal buy now.
