Time to Buy Alibaba and PDD After Tariff Exemptions?

Core Viewpoint - The market sentiment towards Chinese stocks has soured due to trade tariff concerns, but recent exemptions by President Trump may create a more favorable environment for companies like Alibaba and PDD Holdings [1][2][5]. Group 1: Alibaba Group - Alibaba has seen a significant drop of 77% from its 52-week high, yet it outperformed the S&P 500 index with a net performance of 39.1% in the last quarter [6][7]. - Analysts from Citigroup have maintained a Buy rating for Alibaba, with a price target of $169 per share, indicating a potential upside of 48.1% from current levels [8]. - Alibaba's diversified business model, which includes cloud computing and data centers, positions it well to mitigate the impacts of tariffs [9]. Group 2: PDD Holdings - PDD Holdings is expected to benefit from the exemption on parcels valued at $800 or less, enhancing its competitive edge in the market [10]. - The company's market capitalization has grown to over $125 billion, and its stock is currently trading at 58% of its 52-week high, suggesting significant upside potential [11]. - Analysts have set a consensus price target of $169.91 for PDD, indicating a potential upside of 79.3% from current prices [12].