Billionaire David Tepper’s 10 Stock Picks with Huge Upside Potential

7. Alibaba Group Holding Limited (NYSE:BABA)

Appaloosa Management Stake Value: $1,004,181,367

Upside Potential as of May 5: 32.90%

Number of Hedge Fund Holders: 107

Alibaba Group Holding Limited (NYSE:BABA) is a Chinese multinational technology company. Its core business is e-commerce, where it operates through Alibaba.com, Taobao, and Tmall. The company also offers cloud computing through Alibaba, supports global logistics via Cainiao Smart Logistics, and is involved in fintech via Ant Group.

The Chinese tech giant has been aggressively expanding and innovating across multiple business segments. On May 2, 2025, the company launched the Taobao Instant Commerce initiative, a nationwide fast-delivery service that challenges competitors like JD.com (NASDAQ:JD). Through Ant Group, Alibaba Group Holding Limited (NYSE:BABA) has entered the brokerage business by acquiring a 50.55% controlling stake in Bright Smart Securities & Commodities Group for $362.26 million. Additionally, Alibaba (NYSE:BABA) released Qwen3 on April 28, 2025. This is a new family of AI models that reportedly outperform competing models from companies like OpenAI and Google in areas such as coding and math-based problems.

Despite these positive developments, Alibaba Group Holding Limited (NYSE:BABA) faces significant regulatory headwinds, particularly in the United States. Two Republican lawmakers have urged the US Securities and Exchange Commission to delist Chinese companies. This development has reignited investor concerns over the possible forced delisting of Chinese companies from US exchanges amid escalating trade tensions.

On April 14, 2025, Barclays reiterated its Overweight rating on the stock. The analysts also maintained the $180.00 price target. According to the analysts, Alibaba’s (NYSE:BABA) continuous acceleration of its cloud business is a significant factor in their positive outlook.