Alibaba, which has received heavy foreign investment, is still under pressure in the short term, and its performance is expected to recover elastically.

Recently, the China equity fund of overseas asset management giants such as JPMorgan Chase and Aberdeen Investment, announced its positions as of the end of May. JPMorgan is still increasing its positions in Internet stocks, anddoubled its holdings in Alibaba.

The core business income of FY22Q4 was 176.7 billion yuan, up 9.1% year-on-year, of which the customer management income reflecting the performance of Taobao and T-mall was 63.4 billion yuan, up 0.3% year-on-year, slightly better than the growth rate of -1% in the last quarter. FY22' s core business revenue for the whole year was 742 billion yuan, up 19.3% year-on-year, including 315 billion yuan from customer management, up 3% year-on-year. GMV for the whole year is 7.976 trillion yuan.

Alibaba launched Tao Caicai in 2021, keeping its investment in Taote and giving full play to the advantages of logistics multi-level performance network; In 2010, AliExpress was launched. In 2016, Lazada was invested,and entered the Southeast Asian market, actively expanded overseas markets and built a global service network.

The research institute believes that Alibaba is actively expanding overseas markets and providing a sales platform for small businesses around the world. Alibaba has gradually established itself in the global market and built a rich ecosystem of Alibaba.

FY2022Q4 cloud business revenue was 19 billion yuan, a year-on-year increase of 12%, lower than the growth rate of 20% in the last quarter, and the growth slowed down further. On the profit side, the adjusted EBITA profit margin of cloud business remained at 1.5% this quarter, and continued to maintain profitability.

Guosen Securities believes that this quarter, the cloud business is faced with poor demand of Internet vertical industries such as online education and entertainment, which leads to the continued decline in revenue growth. FY2022 Alibaba Cloud's annual revenue was 74.6 billion yuan, a year-on-year increase of 23.1%.

On March 22, 2022, Alibaba announced that the board of directors of the company was full of confidence in the future growth and had authorized to expand the share repurchase program, raising the total amount of planned repurchase from $15 billion to $25 billion, of which $9.655 billion had been completed by fiscal year 2022.

TF Securities believes that the market pessimism will ease in the second quarter, and the visibility of performance will be gradually confirmed, which is expected to boost market confidence. With the subsequent improvement of macro environment and the fulfillment of high-quality growth strategy of enterprises, the gradual resonance between income growth rate and operating leverage improvement is expected to promote the elastic recovery of performance.