Alibaba (BABA) Hits New High on $53-Billion AI Bet

We recently published 10 Stocks Crushing Wall Street, AI Stocks Dominate. Alibaba Group Holding Ltd. (NYSE:BABA) is one of the top performers on Tuesday.

Alibaba Group soared to a new all-time high on Wednesday, as investors gobbled up shares after boosting its investments in artificial intelligence (AI) to 380 billion yuan ($53 billion) and partnering with Nvidia Corp. to support the program.

In intra-day trading, Alibaba Group Holding Ltd. (NYSE:BABA) climbed to its highest 52-week price of $180.16 before trimming gains to end the day just up by 8.19 percent at $176.44 apiece.

Alibaba (BABA) Hits New High on $53-Billion AI Bet

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At an annual technology conference, Alibaba Group Holding Ltd. (NYSE:BABA) CEO Eddie Wu said that the company was vigorously advancing a three-year AI initiative, boosting the total investment to 380 billion yuan, in line with its strategic vision and anticipation of the artificial superintelligence era.

Alibaba Group Holding Ltd. (NYSE:BABA) said it partnered with chip giant Nvidia Corp. for the expansion of global data centers and development of new AI products as it plans to make the sector a core priority alongside e-commerce.

Wu said that companies globally are spending $4 trillion over the next five years, and that Alibaba “needs to keep up.”

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Disclosure: None. This article is originally published at Insider Monkey.