11 Best E-commerce Stocks to Buy Now

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2. Alibaba Group Holding Limited (NYSE:BABA)

Number of Hedge Fund Holders: 130

Alibaba Group Holding Limited (NYSE:BABA) is one of the best e-commerce stocks to buy now. On February 5, Alibaba Group Holding Limited (NYSE:BABA) received a rating update from Aletheia Capital, which reaffirmed a Buy rating on the stock. In a separate development, Reuters reported on February 2 that Alibaba Group Holding Limited (NYSE:BABA) announced plans to spend 3 billion yuan during the Lunar New Year holiday as a means to attract users to its Qwen AI app.

Reuters stated that the announcement fuels the race between the largest tech firms in China, as Alibaba Group Holding Limited’s (NYSE:BABA) plans triple the spending goals announced by rivals Tencent and Baidu earlier. The pledge is set to start on February 6, and includes incentives for drinks, dining, leisure, and entertainment, with “large red envelopes distributed continuously,” according to the company.

For additional perspective, Tencent and Baidu announced plans to spend 1 billion yuan and 500 million yuan on similar promotions for their AI chatbots, respectively. Reuters reported that China’s AI sector is seeing accelerated competition since the launch of DeepSeek’s R1 model in January last year, which shook global AI markets and prompted expedited adoption and increased rivalry among domestic players.

Alibaba Group Holding Limited (NYSE:BABA) manages and provides technology infrastructure and marketing platforms. It operates through seven segments: China Commerce, International Commerce, Local Consumer Services, Cainiao, Cloud, Digital Media and Entertainment, and Innovation Initiatives and Others segments.

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