Alibaba (BABA) Stock Surges: Why You Shouldn’t Invest Now

This week, BABA stock hit a monthly high of $ 167.96. Its cost started to rise strongly on October 7. On that day, the growth was almost 10%. On Monday, the trading session was opened at a higher price of $ 167.96. The reason for this growth was the news that the food delivery company Meituan was fined less than expected by the Chinese authorities. What’s more, according to the documents, value guru Charlie Munger’s Daily Journal has doubled its stake in the e-commerce giant.

There are still risks for US-listed stocks. The reason may be that the Securities and Exchange Commission continues to pursue a plan to de-list Chinese companies that do not comply with the country’s audit rules. Some money management veterans are increasingly looking to other parts of the Chinese market for the next phase of growth, as Beijing’s recent crackdown underscores a greater shift in focus for authorities, which could mean a much heavier hand in business and potential profitability constraints for big internet giants like Alibaba