5 Stocks to Buy According to David Fear’s Thunderbird Partners

4. Alibaba Group Holding Limited (NYSE:BABA)

Thunderbird Partners’ Stake Value: $81,924,000

Percentage of Thunderbird Partners’ 13F Portfolio: 9.81%

Number of Hedge Fund Holders: 115

Alibaba Group Holding Limited (NYSE:BABA), a Chinese multinational ecommerce, technology, and retail corporation, is one of the top stock picks of Thunderbird Partners as of September 2021. The hedge fund holds 553,356 Alibaba Group Holding Limited (NYSE:BABA) shares, worth $81.9 million. The stock represents 9.81% of Thunderbird Partners’ Q3 portfolio. 

115 hedge funds were bullish on Alibaba Group Holding Limited (NYSE:BABA) in the third quarter, with stakes valued at $10.20 billion, as compared to 146 funds in the preceding quarter holding stakes in the company worth $16.7 billion. Billionaire Ken Fisher’s Fisher Asset Management is the largest stakeholder of the company, with 14.2 million shares worth $2.1 billion. 

On November 18, Alibaba Group Holding Limited (NYSE:BABA) reported its Q3 results, posting earnings per share of $1.75, missing estimates by $0.19. The company announced a $31.43 billion revenue, up 33.83% year-over-year, but missed estimates by approximately $670 million. 

Citi analyst Alicia Yap lowered the price target on Alibaba Group Holding Limited (NYSE:BABA) to $216 from $234 and kept a Buy rating on the shares on January 10. The analyst reduced fiscal Q3 and out year estimates for Alibaba citing the “challenging” macro environment. 

Here is what Distillate Capital has to say about Alibaba Group Holding Limited (NYSE:BABA) in its Q3 2021 investor letter:

“The largest sales in the quarter were the Chinese E-commerce giant Alibaba. While Alibaba is still attractively valued, it is not as attractively valued as other Chinese names after the significant sell-off that has occurred in that region. Alibaba was therefore sold to make room for other Chinese stocks within the limits of the regional weight.”