Alibaba Stock Pops as Company Plans Chip Unit Listing

Group 1 - Alibaba Group Holding Ltd is moving towards listing its chip unit, T-head, in response to strong investor interest in AI accelerator companies competing with Nvidia [1] - The restructuring of the chip unit will include partial employee ownership prior to the initial public offering [1] Group 2 - Alibaba's stock (BABA) has increased by 4% to $176.66, having recently surpassed the $155 resistance level, and is up 96% year over year [2] - Options trading volume for BABA is significantly high, with 120,000 calls and 22,000 puts traded, indicating strong market activity [2] - The most active options contract is the weekly 1/23 180-strike call, set to expire soon [2] Group 3 - The current Schaeffer's Volatility Index (SVI) for BABA is 43%, which is higher than 82% of readings from the past year, suggesting favorable conditions for options trading [3] - Alibaba's Schaeffer's Volatility Scorecard (SVS) is at 81, indicating that the stock has historically exceeded options traders' volatility expectations [3]