Market Impact - China's food-delivery market battle has erased $100 billion (1000 亿) in market value from Alibaba [1] - The protracted battle shows no signs of abating, continuing to negatively impact profits and investor confidence [1]

Core Viewpoint - The recent "subsidy war" in the food delivery market has led to unprecedented discounts, significantly increasing order volumes and consumer excitement in Taizhou, with platforms like JD, Meituan, and Ele.me competing aggressively [1][2][7]. Consumer Experience - Consumers have reported experiencing substantial discounts, with offers such as "18 yuan off 18 yuan" and even zero-cost meals becoming common [2][4]. - One consumer shared that they spent only 0.4 yuan on a drink and 8.3 yuan on a meal due to these discounts, highlighting the extreme affordability during this period [5][6]. Market Dynamics - The food delivery platforms have seen a surge in order volumes, with Taobao Flash Purchase and Ele.me reporting over 80 million daily orders, including more than 13 million non-food orders [9]. - Despite the initial high level of subsidies, there has been a noted decrease in discount intensity as of July 9, yet order volumes remain high, particularly for popular chain restaurants and beverage shops [7][9]. Industry Impact - The surge in orders has overwhelmed many businesses, with some reporting daily orders increasing by 20 to 30 [9]. - While the profit margins for coffee shops have remained stable, the competition has pressured the profit margins of chain restaurants and other food services [10].

Market Overview - The Dow Jones Industrial Average increased by 0.43%, the Nasdaq by 0.09%, and the S&P 500 by 0.27%, with both the S&P 500 and Nasdaq reaching new closing highs [3] - Major technology stocks showed mixed results, with Tesla rising by 4.7% and Nvidia's market cap surpassing $4 trillion [3] - Bitcoin-related stocks saw gains, with Coinbase increasing by over 4% [3] - The initial jobless claims in the U.S. were reported at 227,000, lower than the expected 235,000 [3] Pension Adjustment - The Ministry of Human Resources and Social Security and the Ministry of Finance announced a pension adjustment for retirees starting January 1, 2025, with an overall increase of 2% based on the average monthly pension of retirees by the end of 2024 [4] U.S.-China Economic Relations - The Ministry of Commerce stated that since May, U.S. and Chinese economic teams have maintained close communication to stabilize trade relations, following agreements reached in Geneva and London [5] Industry Developments - The China Securities Regulatory Commission announced adjustments to the trading limits and margin requirements for polysilicon futures contracts starting July 14, 2025 [6] - The retail sales of new energy vehicles in China reached 135,000 units in early July, a year-on-year increase of 21%, with a cumulative retail of 6.583 million units for the year, up 37% [6] Corporate Announcements - Li Ping, Vice Chairman of CATL, donated 4.05 million shares to a foundation, completing the transfer process [9] - Saisir expects a net profit increase of 66.2% to 96.98% for the first half of 2025, projecting a profit of 2.7 billion to 3.2 billion yuan [10] - WuXi AppTec anticipates a 44.43% year-on-year increase in adjusted net profit for the first half of 2025, estimating around 6.315 billion yuan [10] - iFlytek expects a net loss of 200 million to 280 million yuan for the first half of 2025, an improvement from a loss of 400 million yuan in the same period last year [11] - China Shipbuilding Industry Corporation forecasts a net profit increase of 98.25% to 119.49% for the first half of 2025, estimating a profit of 2.8 billion to 3.1 billion yuan [12] - Limin Co., Ltd. announced plans for a share reduction by its controlling shareholder, not exceeding 3% of the company's total shares [13] Industry Outlook - The photovoltaic industry is experiencing discussions on self-discipline and supply-side reforms, with expectations for capacity reduction and potential recovery in the industry, although actual improvements depend on the effectiveness of supply-side measures [13] - The upcoming changes to the CIPS rules are expected to accelerate the internationalization of the renminbi, benefiting banks' cross-border business expansion [13]

Core Insights - Alibaba is actively expanding its AI infrastructure to meet the growing demand for generative AI, positioning Alibaba Cloud as a key component of its long-term growth strategy [2][10] - In Q4 of fiscal 2025, Alibaba's Cloud Intelligence Group reported revenues of RMB 30.1 billion ($4.15 billion), marking an 18% year-over-year increase and contributing approximately 12.7% to total revenues [3] - The company has committed RMB 380 billion ($52.7 billion) over three years to enhance its global cloud infrastructure, with recent openings of data centers in Malaysia and plans for a facility in the Philippines by October 2025 [4][10] Infrastructure Expansion - Alibaba Cloud's global infrastructure will expand to 90 availability zones across 29 regions, following investments in Thailand, Mexico, and South Korea [5] - This expansion aims to meet the rising global demand for secure and scalable cloud solutions amid the rapid adoption of AI across various industries [5] Competitive Landscape - Alibaba Cloud faces significant competition from Amazon and Microsoft, both of which are increasing their investments in global infrastructure [6][7] - Amazon is expanding its AI-ready data centers across multiple regions, while Microsoft has opened new data center regions to cater to enterprise demand [6][7] Financial Performance - Alibaba's stock has increased by 22.5% year-to-date, outperforming the Zacks Internet – Commerce industry and the Zacks Retail-Wholesale sector, which grew by 6% and 4.1%, respectively [8] - The stock is currently trading at a forward 12-month Price/Earnings ratio of 9.76X, significantly lower than the industry's 24.59X, indicating a favorable valuation [12]

Core Insights - The article highlights the rapid growth and investment activity in the embodied intelligence sector in China, with significant participation from major tech companies and venture capitalists [2][4][5]. Investment Activity - In 2024, there were 90 financing events in the embodied intelligence sector, totaling 89.33 billion yuan, while in 2025, there have already been 126 events with investments reaching 176.34 billion yuan [2]. - Major investors include Meituan, Baidu, Didi, and Tencent, indicating strong interest from established tech giants [2][4]. - As of July 10, 2024, 13 companies in the sector have announced financing, securing a total of 33 billion yuan [4]. Recent Financing Events - Star Sea Map completed A4 and A5 rounds of financing, raising over 1 billion USD, with participation from Meituan and Baidu [4]. - Other notable financing events include Xiaoyu Zhizao's A+ round led by Didi and Shizhi Hang's 1.22 billion USD angel round led by Meituan [4][5]. Strategic Investments - Major tech companies are investing in embodied intelligence for strategic defense and ecosystem expansion, with state-owned enterprises playing a role in policy and industry security [5][8]. - Companies like Galaxy General and Meituan are collaborating on projects, indicating a trend towards business synergy in investments [5][6]. Market Trends - The article notes a shift in investment dynamics, with major tech firms being more aggressive in their investments, driven by the need to prevent the emergence of independent competitors in vertical markets [8]. - Companies in the sector are actively pursuing IPOs, with several already filing for listings in Hong Kong and plans for future A-share listings [9][10]. Stock Performance - As of July 10, 2024, the stock price of Jizhi Jia increased by 13.6% from its issue price, reflecting positive market sentiment towards companies in the embodied intelligence sector [10].

Investment Rating - The report maintains a "Buy" rating for Alibaba (BABA) [2][12][24] Core Insights - The company is increasing investments in flash sales and instant retail, with AI driving cloud intelligence growth [1][12] - Short-term EBITA pressure is expected for Taotian due to increased investments, but this will help cultivate consumer awareness and activate local consumption [8][12] - Strong growth in cloud revenue is anticipated, driven by rising domestic AI demand and enhanced model capabilities [9][10][12] - The international business is expected to maintain healthy growth while balancing investment efficiency to improve profitability [11][12] Financial Data and Earnings Forecast - For FY26E, the revenue forecast is Rmb1,067.8 billion, with a YoY growth rate of 7.2% [15] - Non-GAAP net profit for FY26E is projected at Rmb137.2 billion, reflecting a decline of 13.4% YoY [15] - The adjusted EPS for FY26E is expected to be Rmb56.82 [15] - The target price is set at $138 per share, indicating a 33% upside potential [12][15]

Core Insights - Alibaba's cross-border e-commerce platform AliExpress has launched a "one-hour delivery" service in the UK starting this month [1] Group 1 - The new delivery service aims to enhance customer experience and competitiveness in the UK market [1]

7月5日，阿里、美团两大平台分别放出了大量且大额的外卖红包券，新一轮"外卖大战"上演，也被网友称为"薅羊毛日"。 有的用户表示收到了"满25减21""满16减16"等多张优惠券。这些优惠券使得部分饮品和食品的外卖价格接近"0元购"。随着优惠券的持续发放，不断有消费 者涌入美团和淘宝闪购下单，导致美团一度出现宕机，甚至冲上微博热搜榜。 对此，美团外卖官方表示，7月5日下午6点前后，因用户下单量突破历史峰值，触发了服务器限流保护，美团App小范围地区用户出现了短时服务异常，现 已全面恢复，大家可以正常下单。期间部分受影响用户的优惠券，可延续至次日继续使用。 此外，针对部分受系统影响短暂出现接单异常的商家，美团将进行回溯，确保商家评分及后续排名等不受影响。 美团内网公布的信息显示，当晚20时45分，美团即时零售日订单突破1亿单，截至22时54分，美团即时零售当日订单破1.2亿单。 据报道，美团此次大规模补贴或源于阿里的补贴计划。7月2日，淘宝闪购宣布启动规模500亿元的补贴计划，补贴方式涉及红包雨、免单卡、商品直降等， 为期12个月。 有消息透露，7月5日是淘宝闪购的"冲单日"，其目标是峰值订单超过美团，预计达到9 ...

电商平台年中激战正酣，巨额补贴持续刺激消费。 最新公布的数据显示：截至7月8日，京东外卖近200个餐饮品牌在京东外卖销量破百万；淘宝 闪购截至7月7日的日订单量突8000万单；美团称截至7月5日23时，其即时零售业务单日订单 量已超1.2亿单。 在平台真金白银的补贴攻势下，不少消费者成功"薅到羊毛"。"2元一杯瑞幸"、"0元奶茶"等 晒单在社交平台刷屏。 图片由AI生成 然而，当消费者畅享低价福利时，一个核心问题随之浮现： 这杯看似免费的"0元奶茶"，最终 究竟由谁来"买单"？ 《科创板日报》记者通过电话采访与实地走访，了解到外卖平台上的满减活动，对消费者是看 得见的优惠，对商家则是一本复杂的"生意经"。 参与商家：让利换流量，销量与利润的博弈 《科创板日报》记者采访发现，不少参与平台活动的商家将此视为"以利换量"的策略。一位淘 宝闪购平台外卖商家表示， "尽管用户享受'0元购'，但平台会给予每单4到5元补贴，虽然单 笔利润微薄，却能显著提升复购率，整体来说，此次活动有一定的加成作用"。 另一位店主则直言，"销量增长明显，平台补贴力度大，即便消费者花得更少，每单反而比之 前多赚1到2元。" 不过，更多商家的参 ...

JR Research is an opportunistic investor. He was recognized by TipRanks as a Top Analyst. He was also recognized by Seeking Alpha as a "Top Analyst To Follow" for Technology, Software, and Internet, as well as for Growth and GARP. He identifies attractive risk/reward opportunities supported by robust price action to potentially generate alpha well above the S&P 500. He has also demonstrated outperformance with his picks. He focuses on identifying growth investing opportunities that present the most attracti ...