I do not hold a position. But maybe I should.
Baba is @ $254B market cap. In 2023 they reported a FCF of $21B. That's a 12 price/FCF ratio.
Aapl for some context trades @ $3.54T market cap. In 2023 they reported a FCF of $99.5B. That's a 34.3 price/FCF ratio.
I know it's a chinese stock and they should be “discounted” because of American's perceived risk but this seems a bit excessive of a discount. Even when it was trading at ATH's it had a price/FCF of 4.5 which to me still seems like a screaming buy. Given the recent china stimulus and runup of baba, I think it should still be a buy right as chinese consumers get this stimulus and baba should benefit? Am I wrong here? Are there risks I'm ignoring?
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