Is Alibaba Stock Still a Buy After Earnings Miss and Apple Partnership Concerns?

Alibaba (BABA) was on a joyride early in 2025 even as U.S. tech shares fell under pressure amid the tariff chaos. Global investors warmed up to Chinese stocks like Alibaba amid the country’s economic stimulus program, and the pivot gained more traction after DeepSeek stunned the world with its low-cost artificial intelligence (AI) model. The sentiment toward Chinese tech stocks improved further following President Xi Jinping’s meeting with domestic entrepreneurs, including Alibaba’s co-founder Jack Ma, in February.

Ma and Alibaba became the face of China’s tech crackdown, so the meeting was quite an about-turn for the country’s political leadership and a clear sign that the world’s second-largest economy was backing its private sector amid the structural economic slowdown. The Chinese economy is also showing signs of improvement, and some data points show that the stimulus has helped revive growth.