Xin Lang Cai Jing·2025-09-25 02:49Group 1 - Alibaba has become the most popular tech stock in China due to increased spending on artificial intelligence projects, with a market value of $420 billion [1] - On Wednesday, Alibaba's stock surged by up to 10% in the US market, ultimately closing up 8%, while its Hong Kong shares have risen 50% in September, making it the best-performing stock in the Hang Seng Tech Index [1] - The company announced plans to increase investments in AI and establish a new partnership with Nvidia, which has positively influenced its stock price and boosted sentiment among peers and suppliers [1] Group 2 - Chinese investors purchased a record net amount of Alibaba's Hong Kong shares in September, totaling HKD 61 billion (approximately $7.8 billion), marking the largest monthly buy-in this year [3] - Morgan Stanley analysts labeled Alibaba as "China's top AI leader" after attending an AI conference, noting that its Qwen3-Max model reportedly surpasses GPT-5 and Claude Opus 4, placing it among the top three globally [6] - The cost of Alibaba's related options has risen to the highest level since 2022, indicating increased bullish positions among options traders, although short positions have also reached a five-year high at 6.8% of outstanding shares [6] Group 3 - Alibaba's current price-to-earnings ratio is approximately 20 times expected future earnings, which is lower compared to Amazon's 25 times and Microsoft's over 30 times, adding to its attractiveness [6] - The company is viewed as similar to major US tech firms and is recognized for its aggressive investment in cloud services, surpassing competitors like Tencent [6]