How to Trade Alibaba (BABA) Stock: Trading Guide 2022

As one of the world's leader in e-Commerce, Internet, Technology and Retail, Alibaba continue to increase its products and raise revenue.

Powered by a market cap worth more than $750 billion, Alibaba remains a strong player in the stock market. Do you want to invest on Alibaba? we'll tell you how.

Overview

Status: Active

Sector: Consumer Cyclical

Industry: Internet Retail

Symbol: BABA

Exchange: NYSE

Employees: 120,500+

Website: alibabagroup.com

Simply say...

Alibaba's core business; Alibaba.com is the largest e-Commerce platform in the world—thanks to having a market of more than a billion Chinese people—performing functions like Amazon and eBay combined.

 

Alibaba's wide-ranging mix of products are considered the essential driving force to the digital economy in the world today.

 

Wait, there's more...

Alibaba's cloud platform, the "AliCloud", is greatly reaping the rewards from the swift to Cloud technology from traditional IT infrastructures in China.

This is expected to result in MORE revenue for the company.

 

That’s not all…

Alibaba's revolutionary Taobao Live is considered as the present and future of e-commerce live-streaming platform on the world today.

Rise of the eCommerce market

Rise of the eCommerce market

As the practice of e-commerce live-streaming become more popular worldwide, analyst believe this will drive Alibaba's gross merchandise volume by 100% in the next year.

 

The great news keep on coming…

What Amazon is doing to the US Market, Alibaba is also doing to the Chinese market—many would say, at an even better rate.

A huge winner since its IPO in 2014, Alibaba consistently breaks sales records year after year despite the slowdown in the world economy due to the 2020 COVID-19 pandemic.

Alibaba's strong sales reflect the robust consumer base of China, to which the rest of the world's largest companies are targeting at.

 

Bear in mind…

Despite Alibaba's rapid rise of its share value, analysts still predict a bullish future of its stock by expecting doubling rate by 2023.

In this article, we will explain the performance of Alibaba’s stock and how it you can take use it to your investing advantage.

 

Please take note…

It is important to make your final decision based on the plan you created.

Decide if you want to invest whether on a short or long-term.

This way, you can best strategize your portfolio moving forward.

 

 

Why Trade Alibaba Stock?

alibaba stock trading

After a revenue increase of more than 30% in 2020, Alibaba is projected to enjoy an increase of at least 28% in 2021.

 

With Alibaba generating more income from its two principal marketplace—Taobao and Tmall, analysts point to Alibaba as having a brighter future perfect for investors looking for a surefire long-term investment.

 

eToro

etoro logo

 

Trade Alibaba!
77% of retail CFD accounts lose money.

Features:

  • Copy investment portfolios of top Alibaba traders
  • Trade stocks commission-free
  • Practice with a free demo account
  • No overnight fees
  • Risk management tools

 

Taking the online trading industry by storm, eToro has now garnered more than 13 million users since it was founded in 2006.

This highly-trusted e-trading application is the ideal investing tool for both seasoned and beginner traders.

 

Want to know how to use eToro? We will tell you how:

  1. Sign up for an account by creating one at the sign-in page.
  2. Verify your personal information for security purposes.
  3. Make your first deposit.
  4. And as easy as 1,2,3, you can now start trading.
Alibaba stock trading on eToro's platform

Alibaba stock trading on eToro's platform

eToro’s fantastic set of features include:

CopyTrading - this is a robust feature that provides users a medium to search and copy successful traders for them to learn and invest properly.

CopyPortfolios - this is another valuable feature that teaches traders the proper way of expanding their portfolios without risking their investments by reducing the chances of experiencing losses through wise trading decisions.

 

And another thing:

The Analyst Coverage page is where users can find beneficial information about the industry, the market, company stocks, forecasts and other data you can use when making investment decisions.

 

eToro is also licensed by different regulatory bodies including the following:

  • CySEC – Cyprus Securities and Exchange Commission
  • FCA – Financial Conduct Authority
  • ASIC – Australian Securities and Investments Commission

 

Plus500

plus500 logo
 
Trade Alibaba!
84% of retail CFD accounts lose money.

Features:

  • Competitive spreads for Alibaba
  • Trading with as little as $100
  • Fast and reliable order execution
  • Risk management tools
  • Fully regulated by the FCA, CySEC and ASIC

 

Remember this:

The trademarked online trading platform of Plus500 is one of the most popular and highly-trusted tools used by investors for investing, trading and managing portfolios.

 

Trading made easier by Plus500

Plus500’s Integrated Risk Management Tools help users avoid investment risks by giving traders integrated control of their investment.

Alibaba stock trading on Plus500's WebTrader platform

Alibaba stock trading on Plus500's WebTrader platform

Illustrative prices only

 

One more thing…

Plus500 online trading platform follows all rules and guidelines set by financial governing bodies and is regulated by leading regulatory boards:

  • Plus500CY Ltd authorized & regulated by CySEC (#250/14).
  • Plus500UK Ltd authorised & regulated by the FCA (#509909).
  • Plus500SG Pte Ltd, licensed by the MAS (#CMS100648-1) and IE Singapore (#PLUS/CBL/2018).
  • Plus500AU Pty Ltd (ACN 153301681), licensed by:
    ASIC in Australia, AFSL #417727, FMA in New Zealand, FSP #486026; Authorised Financial Services Provider in South Africa, FSP #47546. You do not own or have any rights to the underlying assets. Please refer to the Disclosure documents available on the website.

 

 

Alibaba Stock Performance

A low-risk, high-reward stock with a solid history

Being able to ride out the effects of the global slowdown caused by the COVID-19 pandemic, Alibaba's stock performance remains steadfast in growth.


 

Alibaba's strong sales in 2020 despite the worldwide economic crisis shows that China's consumer market is alive and kicking—and are purchasing more.

This result to vigorous revenue for the company and an even stronger stock performance in the trading market.

 

Alibaba Stock Forecast

Below is the stock forecast of Alibaba based on current performance in the market.

 

These stock forecasts are based on current stock and company performance and is meant to guide your decision-making.

Remember, that the final decision is still yours to make.

 

2020: Betting on a Big Chinese Economy Rebound

Alibaba's success mirrors the ever growing might of the Chinese economy.

While the Covid-19 pandemic momentarily created bumps on the road, the Chinese economy and Alibaba's business are expected to rebound mightily.

Thanks to the booming cloud-computing and e-Commerce market, Alibaba remains unchallenged in the vast Chinese market and is now setting its sights further to the rest of the world.

 

And so, we recommend….

Alibaba's stocks dish the best example of perfect balance between risk and long-term growth.

Therefore, the share of Alibaba is forecasted to bring in medium to high yields in the coming year.

 

2021: The Road to 1 Billion Customers

Following the "new retail" gospel of co-founder Jack Ma, Alibaba is spearheading the digitalizing of consumers to an astounding figure—targeting up to 1 billion customers.

The road to 1B starts in the coming year, as Alibaba not only continues to expand its eCommerce and cloud computing reach, but also monetizing on the promising artificial intelligence and big data market.

 

How to Trade Alibaba Stock?

Simply follow the steps below and you're good to go:

  • Open an account with an online broker.

    For you to trade Alibaba stock and other company shares, first you need to open an account with a brokerage which offers a platform for trading.
     
    Signing-up for an account only takes a few minutes to accomplish and after completing this process, you need to make a deposit so you can start investing.

  •  

  • Open your broker's trading platform.

    Let's say you have opened an account with a specific brokerage and you have already funded it. The next step to do is to open their platform to start trading.

    eToro trading platform

    eToro trading platform

  •  

  • Look for the Alibaba stock (symbol: BABA).

    After opening the platform, search for the Alibaba stock by using the search bar and entering either "Alibaba" or its stock symbol "BABA".

    Searching for Alibaba stock on eToro's platform

    Searching for Alibaba stock on eToro's platform

  •  

  • Select Trade and set the amount.

    Click on "Trade" and specify the amount that you wish to invest. You may also set several specific parameters depending the features that are offered to you by your broker.

    Trading Alibaba stocks on eToro's platform

    Trading Alibaba stocks on eToro's platform

  •  

  • Execute the order.

    Initiate the trade by executing the order.

    Executing order on eToro's platform

    Executing order on eToro's platform

  •  

     

     

    Should I trade Alibaba stock?

    Living up fully to its reputation as China's eCommerce giant, Alibaba's stock continues to skyrocket.

    Even with the dire forecast brought upon by the COVID-19 pandemic, Alibaba defy expectations by soaring to more than 60% in the last year.

    You might ask:

    Is it late to ride the BABA bandwagon?

    The answer is “No”. Should you trade Alibaba stock?

    The answer is “Yes” because BABA is still considered by many analysts as a "Trade".

     

    Frequently Asked Questions (FAQ)

    How Much is the Alibaba Stock?

    Here is the current stock market price of   ( )

     

    Who Owns the Most Shares of Alibaba?

    Blackrock Inc. owns the largest number of Alibaba shares with 90,974,480 stocks worth $19.6 billion.

     

    How Many Outstanding Shares Does Alibaba Have?

    Based on latest figures, Alibaba’s outstanding shares is 2.71 billion.

     

    Where Can I Trade Alibaba Stock?

    When trading Alibaba stocks, we highly recommend the two leading online trading platforms used by many traders today. These are the Plus500 and eToro, two popular CFD (contracts for difference) trading applications trusted by investors all over the world.

     

    Best Brokers for Trading Alibaba Stocks

    We've prepared a table of the most trusted and regulated brokers that offers Alibaba stock CFD trading services.

    All you have to do is click on the Alibaba Page button of your preferred broker and you will be taken straight to their stock trading page.

     

    Broker Features Rating Official Site

    etoro logo 

    Read Review

    • Copy investment portfolios of top Alibaba traders
    • Practice with a free demo account
    • No overnight fees
    • Risk management tools

    Min Deposit: $200

    Regulation: CYSEC, FCA

     

    96

    Alibaba Page 


    Open Account

    77% of retail CFD accounts lose money.

    plus500 logo 

    Read Review

    • Competitive spreads for Alibaba
    • Trading with as little as $100
    • Fast and reliable order execution
    • Risk management tools
    • Fully regulated by the FCA, CySEC and ASIC

    Min Deposit: $100

    Regulation: FCA, ASIC, CySEC

     

    95

    Alibaba Page 


    Open Account

    84% of retail CFD accounts lose money.

    avatrade logo 

    Read Review

    • Up to 1:10 leverage on Alibaba
    • Safe and secure trading environment
    • Trade for as little as $100
    • Live multilingual customer support during market hours
    • Regulated

    Min Deposit: $100

    Regulation: CBI, ASIC, FSC, FSA, FSB

     

    94

    Alibaba Page 


    Open Account

    xm.com logo 

    Read Review

    • Alibaba spreads for as low as 0.19
    • $5 minimum deposit
    • Comprehensive trading education
    • 24/5 live help
    • Unlimited demo account

    Min Deposit: $5

    Regulation: IFSC, ASIC, CySEC

     

    90

    Alibaba Page 


    Open Account

    Trading Forex and CFDs involves significant risk of capital loss. You should consider whether you can afford to take the high risk of losing your money.