ETFs in Focus on Alibaba's Mixed Q4 Results

Core Insights - Alibaba Group reported mixed fourth-quarter fiscal 2026 results, beating earnings estimates but lagging on revenues, leading to a 7.6% stock decline due to slowing Chinese consumer spending and increased competition [1] Financial Performance - Earnings per ADS were $1.73, surpassing the Zacks Consensus Estimate of$1.48 and reflecting a 23% increase year-over-year [3] - Revenues grew 7% year-over-year to $32.5 billion, falling short of the consensus mark of$33.08 billion, attributed to growth in core e-commerce and cloud businesses [3] Business Segments - The Cloud Intelligence Group experienced an 18% revenue growth driven by strong AI demand, with AI-related product revenues achieving triple-digit growth for the seventh consecutive quarter [4] - Customer management revenues at Taobao and Tmall Group grew 12% year-over-year, indicating effective monetization and user experience investments [4] Future Outlook - AI is expected to be a key driver for accelerated revenue growth in Alibaba Cloud, with plans to invest at least $53 billion over the next three years in AI and cloud computing infrastructure [5] ETFs with Significant Alibaba Exposure - Roundhill China Dragons ETF (DRAG) has 16.2$34.4 million and annual fees of 59 bps [6] - Invesco Golden Dragon China ETF (PGJ) holds 8.3% of its assets in Alibaba, with AUM of $150.1 million and annual fees of 67 bps [7][8] - The Nightview Fund (NITE) includes Alibaba at 7.1$25.2 million and annual fees of 1.25% [9] - CoreValues Alpha Greater China Growth ETF (CGRO) has Alibaba at 7.09% of its assets, with AUM of $9.8 million and annual fees of 85 bps [10] - ProShares Online Retail ETF (ONLN) includes Alibaba at 6.02$75.4 million and annual fees of 58 bps [11]