L'intérêt à découvert pour Alibaba Gr Hldgs donne aux investisseurs une idée du degré auquel les investisseurs parient sur la baisse de l'action de Alibaba Gr Hldgs. Les données sur l'intérêt à découvert sont mises à jour toutes les deux semaines.

Alibaba Gr Hldgs (NYSE:BABA) Stock, Rapport sur les intérêts à découvert

ALIBABA GROUP HOLDING-SP ADR

Alibaba Gr Hldgs

Alibaba Group Holding

Alibaba is the world's largest online and mobile commerce company as measured by gross merchandise volume. It operates China's online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer). The China commerce retail division is the most valuable cash flow-generating business at Alibaba. Additional revenue sources include China commerce wholesale, international commerce retail/wholesale, local consumer services, cloud computing, digital media and entertainment platforms, Cainiao logistics services, and innovation initiatives/other.

Alibaba Group Holding Limited American Depositary Shares each representing eight Ordinary share

Alibaba Group Holding Ltd

ALIBABA GROUP HOLDING LTD by Alibaba Group Holding Limited

This whale alert can help traders discover the next big trading opportunities.
Whales are entities with large sums of money and we track their transactions here at Benzinga on our options activity scanner.
Traders will search for circumstances when the market estimation of an option diverges heavily from its normal worth. High amounts of trading activity could push option prices to exaggerated or underestimated levels. 
Below are some instances of options activity happening in the Consumer Discretionary sector: 
<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th>Open Interest</th>
<th>Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>TSLA</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>06/06/25</td>
<td>$360.00</td>
<td>$69.4K</td>
<td>13.4K</td>
<td>45.9K</td>
</tr>
<tr>
<td>AMZN</td>
<td>PUT</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>06/06/25</td>
<td>$205.00</td>
<td>$65.7K</td>
<td>4.6K</td>
<td>5.1K</td>
</tr>
<tr>
<td>GME</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>07/18/25</td>
<td>$35.00</td>
<td>$45.9K</td>
<td>10.9K</td>
<td>1.5K</td>
</tr>
<tr>
<td>BABA</td>
<td>PUT</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>07/18/25</td>
<td>$115.00</td>
<td>$29.1K</td>
<td>4.0K</td>
<td>1.0K</td>
</tr>
<tr>
<td>SIG</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>06/06/25</td>
<td>$67.00</td>
<td>$36.8K</td>
<td>52</td>
<td>786</td>
</tr>
<tr>
<td>EAT</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>08/15/25</td>
<td>$140.00</td>
<td>$26.0K</td>
<td>4.0K</td>
<td>583</td>
</tr>
<tr>
<td>DASH</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>06/13/25</td>
<td>$210.00</td>
<td>$40.9K</td>
<td>1.1K</td>
<td>488</td>
</tr>
<tr>
<td>HD</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>08/15/25</td>
<td>$400.00</td>
<td>$26.1K</td>
<td>1.2K</td>
<td>156</td>
</tr>
<tr>
<td>CMG</td>
<td>CALL</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>01/16/26</td>
<td>$51.00</td>
<td>$50.9K</td>
<td>795</td>
<td>123</td>
</tr>
<tr>
<td>DKNG</td>
<td>PUT</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>08/15/25</td>
<td>$35.00</td>
<td>$37.5K</td>
<td>2.8K</td>
<td>103</td>
</tr>
</tbody>
</table>

<h2>Explanation</h2>
These itemized elaborations have been created using the accompanying table. 
• For TSLA (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>), we notice a call option sweep that happens to be bullish, expiring in 4 day(s) on June 6, 2025. This event was a transfer of 250 contract(s) at a $360.00 strike. This particular call needed to be split into 23 different trades to become filled. The total cost received by the writing party (or parties) was $69.4K, with a price of $278.0 per contract. There were 13453 open contracts at this strike prior to today, and today 45900 contract(s) were bought and sold. 
• For AMZN (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>), we notice a put option trade that happens to be neutral, expiring in 4 day(s) on June 6, 2025. This event was a transfer of 274 contract(s) at a $205.00 strike. The total cost received by the writing party (or parties) was $65.7K, with a price of $240.0 per contract. There were 4670 open contracts at this strike prior to today, and today 5167 contract(s) were bought and sold. 
• Regarding GME (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GME#NYSE">GME</a>), we observe a call option sweep with bearish sentiment. It expires in 46 day(s) on July 18, 2025. Parties traded 200 contract(s) at a $35.00 strike. This particular call needed to be split into 20 different trades to become filled. The total cost received by the writing party (or parties) was $45.9K, with a price of $230.0 per contract. There were 10926 open contracts at this strike prior to today, and today 1569 contract(s) were bought and sold. 
• For BABA (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>), we notice a put option trade that happens to be bullish, expiring in 46 day(s) on July 18, 2025. This event was a transfer of 47 contract(s) at a $115.00 strike. The total cost received by the writing party (or parties) was $29.1K, with a price of $620.0 per contract. There were 4089 open contracts at this strike prior to today, and today 1044 contract(s) were bought and sold. 
• For SIG (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SIG#NYSE">SIG</a>), we notice a call option sweep that happens to be bearish, expiring in 4 day(s) on June 6, 2025. This event was a transfer of 93 contract(s) at a $67.00 strike. This particular call needed to be split into 14 different trades to become filled. The total cost received by the writing party (or parties) was $36.8K, with a price of $384.0 per contract. There were 52 open contracts at this strike prior to today, and today 786 contract(s) were bought and sold. 
• For EAT (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EAT#NYSE">EAT</a>), we notice a put option sweep that happens to be bearish, expiring in 74 day(s) on August 15, 2025. This event was a transfer of 65 contract(s) at a $140.00 strike. This particular put needed to be split into 29 different trades to become filled. The total cost received by the writing party (or parties) was $26.0K, with a price of $400.0 per contract. There were 4031 open contracts at this strike prior to today, and today 583 contract(s) were bought and sold. 
• For DASH (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DASH#NASDAQ">DASH</a>), we notice a call option sweep that happens to be bearish, expiring in 11 day(s) on June 13, 2025. This event was a transfer of 65 contract(s) at a $210.00 strike. This particular call needed to be split into 6 different trades to become filled. The total cost received by the writing party (or parties) was $40.9K, with a price of $630.0 per contract. There were 1167 open contracts at this strike prior to today, and today 488 contract(s) were bought and sold. 
• Regarding HD (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HD#NYSE">HD</a>), we observe a call option sweep with bearish sentiment. It expires in 74 day(s) on August 15, 2025. Parties traded 87 contract(s) at a $400.00 strike. This particular call needed to be split into 11 different trades to become filled. The total cost received by the writing party (or parties) was $26.1K, with a price of $298.0 per contract. There were 1290 open contracts at this strike prior to today, and today 156 contract(s) were bought and sold. 
• Regarding CMG (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CMG#NYSE">CMG</a>), we observe a call option trade with bearish sentiment. It expires in 228 day(s) on January 16, 2026. Parties traded 100 contract(s) at a $51.00 strike. The total cost received by the writing party (or parties) was $50.9K, with a price of $510.0 per contract. There were 795 open contracts at this strike prior to today, and today 123 contract(s) were bought and sold. 
• Regarding DKNG (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DKNG#NASDAQ">DKNG</a>), we observe a put option trade with neutral sentiment. It expires in 74 day(s) on August 15, 2025. Parties traded 100 contract(s) at a $35.00 strike. The total cost received by the writing party (or parties) was $37.5K, with a price of $375.0 per contract. There were 2846 open contracts at this strike prior to today, and today 103 contract(s) were bought and sold. 
Options Alert Terminology 
 - Call Contracts: The right to buy shares as indicated in the contract. 
 - Put Contracts: The right to sell shares as indicated in the contract. 
 - Expiration Date: When the contract expires. One must act on the contract by this date if one wants to use it. 
 - Premium/Option Price: The price of the contract. 
For more information, visit our <a href="https://pro.benzinga.com/blog/how-to-understand-option-alerts/">Guide to Understanding Options Alerts</a> or read <a href="https://www.benzinga.com/markets/options">more news on unusual options activity</a>. 
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Options

AMZN

BABA

DASH

DKNG

TSLA

10 Consumer Discretionary Stocks With Whale Alerts In Today's Session

UBS Group expressed optimism <a href="https://www.benzinga.com/topic/chinese-stocks" target="_blank" rel="noreferrer noopener">about Chinese stocks</a>, citing the recent tariff pause with the U.S., potential stimulus measures from Beijing and attractive low valuations as key drivers.
UBS&#8217; stance coincided with a market sell-off in U.S. equities amid trade tensions, SCMP <a href="https://www.scmp.com/business/banking-finance/article/3312525/ubs-upbeat-china-stocks-citing-tariff-pause-us-and-potential-beijing-stimulus" target="_blank" rel="noreferrer noopener">reported</a> on Monday.
Alibaba Group Holding (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>) is considered a tech barometer of China. Other significant U.S.-listed Chinese stocks included Baidu, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BIDU#NASDAQ">BIDU</a>), JD.Com, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/JD#NASDAQ">JD</a>), and PDD Holdings Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PDD#NASDAQ">PDD</a>).
Also Read: <a href="https://www.benzinga.com/trading-ideas/movers/25/05/45703311/us-listed-chinese-stocks-drop-after-trump-renews-trade-tensions" target="_blank" rel="noreferrer noopener">US Listed Chinese Stocks Drop After Trump Renews Trade Tensions</a>
Neil Hosie of UBS said Beijing&#8217;s economic policy measures in September and the emergence of artificial intelligence start-up DeepSeek&#8217;s affordable models sparked global investor interest in China equities, slowly translating into more significant fund flows.
Hosie said a 90-day tariff truce and Beijing&#8217;s hopes for domestic stimulus have translated into higher inflows into China&#8217;s markets.
Additionally, Hosie said Hong Kong&#8217;s resurgent initial public offering (IPO) market was a positive driver.
Meanwhile, Hosie said U.S. stocks were overvalued, citing the Nasdaq&#8217;s P/E of 31.70x, compared to Hong Kong&#8217;s benchmark Hang Seng Index at 10.86x and Shanghai&#8217;s main board at 15.60x, as per Bloomberg data.
Mainland Chinese households held 160 trillion yuan ($22 trillion) in cash, mostly invested in bank time deposits and about a third of it could flow into stock markets in Hong Kong as lower interest rates drive demand for riskier assets, SCMP <a href="https://www.scmp.com/business/china-business/article/3312751/chinese-households-set-buy-another-us100-billion-hong-kong-stocks-hsbc-says" target="_blank" rel="noreferrer noopener">reported</a> on Monday, citing HSBC.
Herald van der Linde, head of HSBC Asia-Pacific equity research, told SCMP that close to 50 trillion yuan, deemed excess savings over the COVID-19 pandemic years, will find their way back into local and offshore equity markets.
HSBC said Chinese investors channeled $80 billion in net inflows into Hong Kong stocks through Stock Connect&#8217;s southbound channel in 2025. At the current rate, they could funnel more excess savings to drive purchases to $180 billion by the end of the year.
HSBC said most of the cash flowing into Hong Kong&#8217;s stock market had gone into high-growth sectors such as internet firms, electric vehicle (EV) makers, and other high-yielding companies like Tencent Holdings and Alibaba.
BABA Price Actions: BABA stock is up 0.76% at $114.70 at publication on Monday.
Read Next:
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</ul>
Photo: Shutterstock

Large Cap

Analyst Ratings

Trading Ideas

BIDU

Citigourp Global Markets 2% Protected Notes Linked To The Djia

TCEHY

China Stocks Get Boost As UBS, HSBC Cite Stimulus Hopes, Tariff Truce, Low Valuations

<a href="https://www.theinformation.com/articles/alibaba-helped-china-take-lead-u-s-open-source-ai" title="https://www.theinformation.com/articles/alibaba-helped-china-take-lead-u-s-open-source-ai">https://www.theinformation.com/articles/alibaba-helped-china-take-lead-u-s-open-source-ai</a>

News

'How Alibaba Helped China Take the Lead From the U.S. in Open-Source AI' - The Information

China has refuted U.S. President Donald Trump&#8216;s claims of breaching the Geneva trade agreement, labeling them as unfounded. 
What Happened: On Monday, China's Commerce Ministry rejected Trump's accusations that Beijing had breached the Geneva trade agreement. The ministry confirmed that China had implemented and consistently upheld the agreement reached in Geneva last month, <a href="https://english.news.cn/20250602/ebecebe8437e464da4723ebd20a5e72b/c.html">reported </a>Xinhua News.
The Chinese government stated that the U.S. had &#8220;groundlessly&#8221; accused the nation of breaching the trade deal and pledged to take aggressive measures to protect its interests.
Trump had accused China of breaching a bilateral deal to reduce tariffs. The ministry countered, stating that the U.S. had imposed several &#8220;discriminatory restrictive&#8221; measures against China, such as restricting AI chip exports, banning the sale of chip design software to China and revoking visas for Chinese students. 
&#8220;The U.S. government has unilaterally and repeatedly provoked new economic and trade frictions, exacerbating uncertainty and instability in bilateral economic and trade relations,&#8221; the ministry stated. 
SEE ALSO: <a href="https://benzinga.com/cannabis/25/05/45691518/110m-wiped-out-bitcoin-whale-trader-gets-burned-as-btc-tags-104150" target="_blank" rel="noreferrer noopener">$110M Wiped Out: Bitcoin Whale Trader Gets Burned As BTC Tags $104,150 &#8211; Benzinga</a>
Why It Matters: This recent dispute follows a series of events that have strained U.S.-China trade relations. On Friday, President Trump accused China of violating an agreement to ease tariffs. Analysts suggest China&#8217;s delay in approving rare earth export licenses, over which it holds strategic control, may have fueled Trump&#8217;s anger, even though he didn&#8217;t directly mention them in his accusations, reported the South China Morning Post.
Following the development. the U.S.-listed Chinese stocks, including Baidu, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BIDU#NASDAQ">BIDU</a>) and Alibaba Group Holding (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>) <a href="https://www.benzinga.com/trading-ideas/movers/25/05/45703311/us-listed-chinese-stocks-drop-after-trump-renews-trade-tensions">dropped</a> 2.95% and 2.85%, respectively.
A day prior to that, China called on the U.S. to completely <a href="https://www.benzinga.com/markets/25/05/45664337/china-tells-us-to-entirely-revoke-wrongful-unilateral-tariffs-after-court-blocks-trumps-liberation-day-levies">withdraw </a>the unilateral tariff measures when a U.S. federal court blocked Trump tariffs which have now been temporarily reinstated.
Meanwhile, U.S. Treasury Secretary Scott Bessent indicated that trade negotiations between the two countries had reached a <a href="https://www.benzinga.com/25/05/45685544/scott-bessent-says-us-china-trade-talks-at-stalemate-need-trump-and-xi-jinping-touch-to-break-the-deadlock">stalemate</a>. On Sunday, Bessent stated in an interview with CBS news that he is confident President Trump and Chinese President Xi Jinping would meet &#8220;soon&#8221; and iron out the differences. 
<ul class="wp-block-list">
<li>READ MORE: <a href="https://benzinga.com/cannabis/25/06/45714198/elon-musks-kekius-maximus-gameplay-sends-these-namesake-coins-surging" target="_blank" rel="noreferrer noopener">Elon Musk&#8217;s &#8216;Kekius Maximus&#8217; Gameplay Sends These Namesake Coins Surging &#8211; Benzinga</a></li>
</ul>
Image via Shutterstock
Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Markets

Xi Jinping's China Dismisses Trump's 'Groundless' Accusations On Geneva Trade Deal Breach, Vows Strong Retaliation

Alibaba Group Holding Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>) shares are trading lower Friday after a combination of political and legal developments reignited concerns over <a href="https://www.benzinga.com/government/regulations/25/05/45676270/chinese-stocks-soar-as-us-court-blocks-trump-tariffs">U.S.-China trade relations.</a>
What To Know: On Thursday, President Donald Trump stated that China had violated its trade agreements with the United States. While he did not specify which terms were broken, his comments come as he continues to push for stricter trade enforcement. Shortly after his remarks, a U.S. federal appeals court temporarily reinstated most of the tariffs Trump had previously enacted using the International Emergency Economic Powers Act.
These tariffs had been struck down just a day earlier by a three-judge panel, which ruled that the International Emergency Economic Powers Act did not grant the president unlimited authority to impose tariffs. However, the Trump administration filed an appeal and the appellate court responded by putting the lower court's decision on hold, pending further review.
For Alibaba and other U.S.-listed Chinese companies, this legal uncertainty adds pressure. The stock had previously seen upward movement when the court initially blocked the tariffs, but that optimism quickly reversed. Investors are now reassessing risk, especially as Alibaba and peers like PDD Holdings and Baidu operate in a geopolitical environment prone to sudden shifts.
Earlier in May, China and the U.S. agreed to temporarily lower mutual tariffs for 90 days, with U.S. duties dropping from 145% to 30% and Chinese duties on American goods falling from 125% to 10%. That agreement provided short-term relief, but the recent court ruling and Trump's rhetoric suggest those reductions may be at risk if political dynamics change, especially with the upcoming election cycle.
BABA Price Action: Alibaba shares were down 2.78% at $113.92 at the time of writing, according to <a href="https://pro.benzinga.com/dashboard?new_user=False&amp;backend=google-oauth2">Benzinga Pro.</a>
Read Next:
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<li><a href="https://www.benzinga.com/markets/equities/25/05/45701116/wall-street-slumps-as-trump-reignites-china-trade-tensions-nvidia-wipes-out-earnings-rally-whats-driving-markets-friday">Wall Street Slumps As Trump Reignites China Trade Tensions, Nvidia Wipes Out Earnings Rally: What&#8217;s Driving Markets Friday? </a></li>
</ul>
Image Via Shutterstock.

Movers

What's Going On With Alibaba Shares Today?

<a target="_blank" href="https://www.benzinga.com/topic/chinese-stocks" rel="noreferrer noopener">US-listed Chinese stocks</a> Alibaba Group Holding (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>),&nbsp;PDD Holdings Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PDD#NASDAQ">PDD</a>), and&nbsp;Baidu, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BIDU#NASDAQ">BIDU</a>) declined on Friday after U.S. President&nbsp;Donald Trump&nbsp;accused China of violating an agreement with the U.S. to ease tariffs in his Truth Social <a target="_blank" href="https://truthsocial.com/@realDonaldTrump/posts/114596705340367716" rel="noreferrer noopener">post</a>.
However, President Trump did not mention specifically how China violated the deal.
Chinese electric vehicle companies, including&nbsp;NIO Inc&nbsp;(NYSE:&nbsp;NIO) and&nbsp;XPeng Inc&nbsp;(NYSE:&nbsp;XPEV), also traded lower on Friday.
Also Read: <a target="_blank" href="https://www.benzinga.com/markets/asia/25/05/45692725/alibaba-and-baidu-turn-to-chinese-ai-chips-as-us-sanctions-squeeze-nvidia-supply" rel="noreferrer noopener">Alibaba And Baidu Turn To Chinese AI Chips As US Sanctions Squeeze Nvidia Supply</a>
On May 12, Beijing and Washington&nbsp;had agreed to lower&nbsp;tariffs on each other's products, temporarily offering relief to the stock market. The deal reduced U.S. levies of 145% on most Chinese imports to 30%, while China's 125% duties on U.S. goods will drop to 10% for 90 days.
On Wednesday, a&nbsp;federal court had <a target="_blank" href="https://www.benzinga.com/government/regulations/25/05/45676270/chinese-stocks-soar-as-us-court-blocks-trump-tariffs" rel="noreferrer noopener">invalidated&nbsp;global tariffs</a> enacted by Trump under the International Emergency Economic Powers Act.
A three-judge panel, with appointees from the Reagan, Obama, and Trump eras, ruled that the IEEPA doesn't give the president unlimited power to impose tariffs.
However, the order was appealed, and on Thursday, the federal appeals court in Washington reinstated the tariffs on foreign imports.
"The request for an immediate administrative stay is granted to the extent that the judgments and the permanent injunctions entered by the Court of International Trade in these cases are temporarily stayed until further notice while this court considers the motions papers," the order stated,
Price Actions:&nbsp;BABA stock is down 2.88% at $113.81 at last check Friday. PDD is down 1.34%, BIDU is down 2.41.
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Photo by DOERS via Shutterstock

Government

Tech

US Listed Chinese Stocks Drop After Trump Renews Trade Tensions

Synopsys, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SNPS#NASDAQ">SNPS</a>) ordered its China employees to halt services and sales in the country effective May 29, 2025, after the new <a target="_blank" href="https://www.benzinga.com/trading-ideas/movers/25/05/45657567/whats-going-on-with-synopsys-cadence-design-stocks-wednesday" rel="noreferrer noopener">U.S. export restrictions</a> kicked in, Reuters reported on Friday, citing an internal letter.
Products affected include semiconductor design software and chemicals.
This week, the U.S. ordered several companies to stop shipping goods to China without a license, and licenses, which had already been granted to specific suppliers, were revoked.
On Thursday, the company <a target="_blank" href="https://www.benzinga.com//node/45677138" rel="noreferrer noopener">disclosed that it received</a> a letter from the Bureau of Industry and Security of the U.S. Department of Commerce informing Synopsys of new export restrictions related to China and is ascertaining the potential impact. As a result, it suspended its third quarter outlook (Revenue $1.75 billion–$1.78 billion, Adj EPS $3.82-$3.87).
Also Read: <a target="_blank" href="https://www.benzinga.com/tech/25/05/45235394/nvidia-broadcom-lead-fund-manager-buys-even-as-semiconductor-sector-cools-analysts" rel="noreferrer noopener">Nvidia, Broadcom Lead Fund Manager Buys Even As Semiconductor Sector Cools: Analysts</a>
The U.S. sanctions prompted Chinese companies, including&nbsp;Alibaba Group Holding (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>), to turn to <a target="_blank" href="https://www.benzinga.com/markets/asia/25/05/45692725/alibaba-and-baidu-turn-to-chinese-ai-chips-as-us-sanctions-squeeze-nvidia-supply" rel="noreferrer noopener">China-made AI</a> chips as U.S. export curbs cut&nbsp;Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) supply.
Synopsys, Cadence Design Systems, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CDNS#NASDAQ">CDNS</a>), and Siemens&#8217; Mentor Graphics control over 70% of China&#8217;s electronic design automation (EDA) software market, which chipmakers can use to design semiconductors ranging from smartphones to computers and cars.
Synopsys stock lost over 19% in the last 12 months.
On Wednesday, Synopsys reported <a target="_blank" href="https://www.benzinga.com/news/earnings/25/05/45668888/synopsys-delivers-earnings-win-as-us-tech-export-curbs-loom-over-industry" rel="noreferrer noopener">second-quarter revenue</a> of&nbsp;$1.60&nbsp;billion, which aligns with the consensus estimate. The adjusted EPS of $3.67&nbsp;beat the street view of&nbsp;$3.38.
Price Action: SNPS shares are trading higher by 1.50% to $461.82 at last check Friday.
Read Next:
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</ul>
Image Via Shutterstock

Regulations

Media

CDNS

NVDA

SNPS

Synopsys Halts China Sales After US Cracks Down On Chip Design Exports

WIIM

FUTU

TCOM

XPEV

Shares of US-listed Chinese stocks are trading lower after President Trump said china has violated its agreement with the US. Additionally, a federal appeals court on Thursday temporarily reinstated most of the tariffs imposed by Trump.

Whales with a lot of money to spend have taken a noticeably bullish stance on Alibaba Gr Hldgs.
Looking at options history for Alibaba Gr Hldgs (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>) we detected 16 trades.
If we consider the specifics of each trade, it is accurate to state that 56% of the investors opened trades with bullish expectations and 25% with bearish.
From the overall spotted trades, 5 are puts, for a total amount of $193,195 and 11, calls, for a total amount of $931,142.
<h3>Projected Price Targets</h3>
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $60.0 to $150.0 for Alibaba Gr Hldgs over the last 3 months. 
<h3>Volume &amp; Open Interest Trends</h3>
Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.
This data can help you track the liquidity and interest for Alibaba Gr Hldgs's options for a given strike price.
Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Alibaba Gr Hldgs's whale activity within a strike price range from $60.0 to $150.0 in the last 30 days. 
<h3>Alibaba Gr Hldgs Option Activity Analysis: Last 30 Days</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1748613673_0.png" alt="Options Call Chart" />
<h3>Significant Options Trades Detected:</h3>

<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Ask</th>
<th>Bid</th>
<th>Price</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th>Open Interest</th>
<th align="right">Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>BABA</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>12/18/26</td>
<td>$58.0</td>
<td>$57.6</td>
<td>$58.0</td>
<td>$60.00</td>
<td>$290.0K</td>
<td>125</td>
<td align="right">50</td>
</tr>
<tr>
<td>BABA</td>
<td>CALL</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>10/17/25</td>
<td>$4.55</td>
<td>$4.35</td>
<td>$4.45</td>
<td>$135.00</td>
<td>$199.8K</td>
<td>1.3K</td>
<td align="right">453</td>
</tr>
<tr>
<td>BABA</td>
<td>CALL</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>06/06/25</td>
<td>$9.25</td>
<td>$8.75</td>
<td>$8.75</td>
<td>$106.00</td>
<td>$87.5K</td>
<td>1</td>
<td align="right">200</td>
</tr>
<tr>
<td>BABA</td>
<td>CALL</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>01/15/27</td>
<td>$52.35</td>
<td>$49.75</td>
<td>$51.0</td>
<td>$70.00</td>
<td>$61.2K</td>
<td>587</td>
<td align="right">12</td>
</tr>
<tr>
<td>BABA</td>
<td>PUT</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>01/16/26</td>
<td>$10.55</td>
<td>$10.4</td>
<td>$10.45</td>
<td>$110.00</td>
<td>$59.5K</td>
<td>3.3K</td>
<td align="right">60</td>
</tr>
</tbody>
</table>

<h3>About Alibaba Gr Hldgs</h3>
Alibaba is the world's largest online and mobile commerce company as measured by gross merchandise volume. It operates China's online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer). The China commerce retail division is the most valuable cash flow-generating business at Alibaba. Additional revenue sources include China commerce wholesale, international commerce retail/wholesale, local consumer services, cloud computing, digital media and entertainment platforms, Cainiao logistics services, and innovation initiatives/other.
Having examined the options trading patterns of Alibaba Gr Hldgs, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
<h3>Present Market Standing of Alibaba Gr Hldgs</h3>
<ul>
<li>Currently trading with a volume of 2,791,539, the BABA's price is down by -2.84%, now at $113.85. </li>
<li>RSI readings suggest the stock is currently may be approaching oversold.</li>
<li>Anticipated earnings release is in 76 days.</li>
</ul>
<h3>What The Experts Say On Alibaba Gr Hldgs</h3>
Over the past month, 3 industry analysts have shared their insights on this stock, proposing an average target price of $159.33.
Turn $1000 into $1270 in just 20 days?
20-year pro options trader reveals his one-line chart technique that shows when to buy and sell. Copy his trades, which have had averaged a 27% profit every 20 days. <a href="https://www.benzinga.com/premium/ideas/options-moneyline-2/?t=Moop1arja3be22op14&amp;adType=benzinga-insights&amp;ad=options-activity&amp;campaign=wallstreetadvantage">Click here for access</a>. 
&#x2A; Maintaining their stance, an analyst from Benchmark continues to hold a Buy rating for Alibaba Gr Hldgs, targeting a price of $176. 
&#x2A; Maintaining their stance, an analyst from Mizuho continues to hold a Outperform rating for Alibaba Gr Hldgs, targeting a price of $160. 
&#x2A; Consistent in their evaluation, an analyst from Baird keeps a Outperform rating on Alibaba Gr Hldgs with a target price of $142. 
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Alibaba Gr Hldgs options trades with real-time alerts from <a href="https://www.benzinga.com/pro/">Benzinga Pro</a>.

Spotlight on Alibaba Gr Hldgs: Analyzing the Surge in Options Activity

China&#8217;s leading technology companies, including Alibaba Group Holding (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>), Tencent Holding (OTC:<a class="ticker" href="https://www.benzinga.com/stock/TCEHY#OTC">TCEHY</a>) and Baidu Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BIDU#NASDAQ">BIDU</a>) have begun switching to <a href="https://www.benzinga.com/topic/chip-stocks" target="_blank" rel="noreferrer noopener">homegrown chips to</a> develop artificial intelligence as the dwindling stockpile of Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) processors and U.S. export controls erode their ambitions.
Growing geopolitical tensions with China led Donald Trump&#8217;s administration to clamp down on sales of Nvidia&#8217;s H20 in April, prompting the companies to step up contingency planning, the Financial Times <a target="_blank" href="https://www.ft.com/content/bb1315e8-27df-4a93-a4dc-11e2883fdde3" rel="noreferrer noopener">reported</a> on Thursday, citing unnamed sources familiar with the matter.
Uncertainties mount over Nvidia&#8217;s ability to offer a new processor for China that is compliant with Trump&#8217;s export rules and competitive against domestic rivals.
Also Read: <a target="_blank" href="https://www.benzinga.com/tech/25/05/45673288/when-nvidia-wins-broadcom-climbs-ai-boom-sends-chip-stocks-soaring" rel="noreferrer noopener">When Nvidia Wins, Broadcom Climbs: AI Boom Sends Chip Stocks Soaring</a>
New chip orders typically take three to six months to ship.
Shen Dou, head of Baidu&#8217;s AI cloud group, expressed optimism during an analyst call, saying that domestically developed self-sufficient chips and homegrown software stacks will gradually replace Nvidia.
Alibaba chief Eddie Wu, in an earnings call, talked about actively exploring diversified solutions to meet demand.
China Institutes of Contemporary International Relations&#8217; social media post quoted domestic entities in China as having already begun large-scale procurement and use of Ascend chips.
Most companies are considering a hybrid approach, with AI training continuing to run on existing Nvidia chips while adopting local processors for inference.
Analysts at GF Securities told the Financial Times that they expect Nvidia to start producing its next chips for China by early July.
Nvidia said it had incurred a <a href="https://www.benzinga.com/news/earnings/25/05/45657660/nvidia-q1-highlights-china-export-ban-hits-results-but-jensen-huang-says-demand-incredibly-strong" target="_blank" rel="noreferrer noopener">$4.5 billion charge</a> in the first quarter related to H20 excess inventory and purchase obligations. H20 product sales were $4.6 billion for the first quarter before the new export licensing requirements.
<a href="https://www.benzinga.com/25/04/44963176/chinese-tech-firms-led-by-alibaba-hoard-nvidia-ai-chips-amid-us-sanctions" target="_blank" rel="noreferrer noopener">Chinese companies, including</a> ByteDance, Alibaba and Tencent, hoarded Nvidia&#8217;s H20 AI chips amid US sanctions. They aimed to snap up one million H20s before the latest US semiconductor sanctions. The companies reportedly placed over $16 billion in orders for the quarter. 
Reportedly, Nvidia bagged $18 billion of H20 orders since 2025.
China generated $17 billion in revenue in fiscal 2024, accounting for 13% of Nvidia&#8217;s total sales.
Price Actions: At the last check on Friday, NVDA stock was down 0.06% at $139.10. BABA is down 0.84%.
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</ul>
Photo: Shutterstock

Alibaba And Baidu Turn To Chinese AI Chips As US Sanctions Squeeze Nvidia Supply

Shares of US listed Chinese stocks led are trading higher after a federal court invalidated global tariffs enacted by President Donald Trump under the International Emergency Economic Powers Act on Wednesday.

This whale alert can help traders discover the next big trading opportunities.
Whales are entities with large sums of money and we track their transactions here at Benzinga on our options activity scanner.
Traders often look for circumstances when the market estimation of an option diverges away from its normal worth. Abnormal amounts of trading activity could push option prices to hyperbolic or underperforming levels. 
Below are some instances of options activity happening in the Consumer Discretionary sector: 
<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th>Open Interest</th>
<th>Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>TSLA</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>05/30/25</td>
<td>$365.00</td>
<td>$51.5K</td>
<td>16.4K</td>
<td>69.6K</td>
</tr>
<tr>
<td>AMZN</td>
<td>CALL</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>05/30/25</td>
<td>$207.50</td>
<td>$27.4K</td>
<td>17.7K</td>
<td>25.0K</td>
</tr>
<tr>
<td>BYON</td>
<td>PUT</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>07/18/25</td>
<td>$7.50</td>
<td>$75.0K</td>
<td>74</td>
<td>1.0K</td>
</tr>
<tr>
<td>RIVN</td>
<td>PUT</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>08/15/25</td>
<td>$14.00</td>
<td>$76.7K</td>
<td>12.9K</td>
<td>725</td>
</tr>
<tr>
<td>DKS</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>05/30/25</td>
<td>$180.00</td>
<td>$27.9K</td>
<td>953</td>
<td>459</td>
</tr>
<tr>
<td>SBUX</td>
<td>PUT</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>10/17/25</td>
<td>$85.00</td>
<td>$35.0K</td>
<td>1.5K</td>
<td>126</td>
</tr>
<tr>
<td>BABA</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>01/16/26</td>
<td>$100.00</td>
<td>$271.7K</td>
<td>11.8K</td>
<td>125</td>
</tr>
<tr>
<td>ABNB</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>01/16/26</td>
<td>$140.00</td>
<td>$60.1K</td>
<td>2.7K</td>
<td>51</td>
</tr>
<tr>
<td>ULTA</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>06/06/25</td>
<td>$412.50</td>
<td>$41.4K</td>
<td>2</td>
<td>42</td>
</tr>
<tr>
<td>WING</td>
<td>CALL</td>
<td>SWEEP</td>
<td>NEUTRAL</td>
<td>09/19/25</td>
<td>$120.00</td>
<td>$223.1K</td>
<td>1</td>
<td>10</td>
</tr>
</tbody>
</table>

<h2>Explanation</h2>
These itemized elaborations have been created using the accompanying table. 
• For TSLA (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>), we notice a call option sweep that happens to be bullish, expiring in 1 day(s) on May 30, 2025. This event was a transfer of 137 contract(s) at a $365.00 strike. This particular call needed to be split into 5 different trades to become filled. The total cost received by the writing party (or parties) was $51.5K, with a price of $379.0 per contract. There were 16407 open contracts at this strike prior to today, and today 69693 contract(s) were bought and sold. 
• For AMZN (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>), we notice a call option trade that happens to be bearish, expiring in 1 day(s) on May 30, 2025. This event was a transfer of 200 contract(s) at a $207.50 strike. The total cost received by the writing party (or parties) was $27.4K, with a price of $137.0 per contract. There were 17725 open contracts at this strike prior to today, and today 25047 contract(s) were bought and sold. 
• Regarding BYON (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BYON#NYSE">BYON</a>), we observe a put option trade with bullish sentiment. It expires in 50 day(s) on July 18, 2025. Parties traded 500 contract(s) at a $7.50 strike. The total cost received by the writing party (or parties) was $75.0K, with a price of $150.0 per contract. There were 74 open contracts at this strike prior to today, and today 1008 contract(s) were bought and sold. 
• For RIVN (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RIVN#NASDAQ">RIVN</a>), we notice a put option trade that happens to be bullish, expiring in 78 day(s) on August 15, 2025. This event was a transfer of 650 contract(s) at a $14.00 strike. The total cost received by the writing party (or parties) was $76.7K, with a price of $118.0 per contract. There were 12906 open contracts at this strike prior to today, and today 725 contract(s) were bought and sold. 
• Regarding DKS (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DKS#NYSE">DKS</a>), we observe a call option sweep with bearish sentiment. It expires in 1 day(s) on May 30, 2025. Parties traded 147 contract(s) at a $180.00 strike. This particular call needed to be split into 11 different trades to become filled. The total cost received by the writing party (or parties) was $27.9K, with a price of $190.0 per contract. There were 953 open contracts at this strike prior to today, and today 459 contract(s) were bought and sold. 
• Regarding SBUX (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SBUX#NASDAQ">SBUX</a>), we observe a put option trade with bearish sentiment. It expires in 141 day(s) on October 17, 2025. Parties traded 50 contract(s) at a $85.00 strike. The total cost received by the writing party (or parties) was $35.0K, with a price of $700.0 per contract. There were 1527 open contracts at this strike prior to today, and today 126 contract(s) were bought and sold. 
• Regarding BABA (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>), we observe a call option trade with bullish sentiment. It expires in 232 day(s) on January 16, 2026. Parties traded 110 contract(s) at a $100.00 strike. The total cost received by the writing party (or parties) was $271.7K, with a price of $2470.0 per contract. There were 11895 open contracts at this strike prior to today, and today 125 contract(s) were bought and sold. 
• For ABNB (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ABNB#NASDAQ">ABNB</a>), we notice a call option trade that happens to be bullish, expiring in 232 day(s) on January 16, 2026. This event was a transfer of 50 contract(s) at a $140.00 strike. The total cost received by the writing party (or parties) was $60.1K, with a price of $1202.0 per contract. There were 2757 open contracts at this strike prior to today, and today 51 contract(s) were bought and sold. 
• For ULTA (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ULTA#NASDAQ">ULTA</a>), we notice a call option sweep that happens to be bullish, expiring in 8 day(s) on June 6, 2025. This event was a transfer of 20 contract(s) at a $412.50 strike. This particular call needed to be split into 3 different trades to become filled. The total cost received by the writing party (or parties) was $41.4K, with a price of $2070.0 per contract. There were 2 open contracts at this strike prior to today, and today 42 contract(s) were bought and sold. 
• Regarding WING (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/WING#NASDAQ">WING</a>), we observe a call option sweep with neutral sentiment. It expires in 113 day(s) on September 19, 2025. Parties traded 10 contract(s) at a $120.00 strike. This particular call needed to be split into 4 different trades to become filled. The total cost received by the writing party (or parties) was $223.1K, with a price of $22310.0 per contract. There were 1 open contracts at this strike prior to today, and today 10 contract(s) were bought and sold. 
Options Alert Terminology 
 - Call Contracts: The right to buy shares as indicated in the contract. 
 - Put Contracts: The right to sell shares as indicated in the contract. 
 - Expiration Date: When the contract expires. One must act on the contract by this date if one wants to use it. 
 - Premium/Option Price: The price of the contract. 
For more information, visit our <a href="https://pro.benzinga.com/blog/how-to-understand-option-alerts/">Guide to Understanding Options Alerts</a> or read <a href="https://www.benzinga.com/markets/options">more about unusual options activity</a>. 
This article was generated by Benzinga's automated content engine and reviewed by an editor.

ABNB

BYON

RIVN

SBUX

ULTA

WING

10 Consumer Discretionary Stocks Whale Activity In Today's Session

U.S.-listed Chinese stocks&nbsp;led by&nbsp;Alibaba Group Holding (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>),&nbsp;PDD Holdings Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PDD#NASDAQ">PDD</a>), and&nbsp;Baidu, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BIDU#NASDAQ">BIDU</a>)&nbsp;gained on Thursday after a <a target="_blank" href="https://www.benzinga.com/25/05/45664572/us-stocks-likely-to-open-higher-after-federal-court-invalidates-trumps-tariffs-without-tariff-revenues-there-is-a-big-beautiful-hole-in-the-big-beautiful-budget-bill-says-expert" rel="noreferrer noopener">federal court invalidated</a> global tariffs&nbsp;enacted by President&nbsp;Donald Trump under the International Emergency Economic Powers Act on Wednesday.
A three-judge panel, with appointees from the Reagan, Obama and Trump eras, ruled that the IEEPA doesn&#8217;t give the president unlimited power to impose tariffs.
Reportedly, the Trump administration filed an appeal against the ruling in minutes.
Also Read: <a target="_blank" href="https://www.benzinga.com/trading-ideas/movers/25/05/45620670/alibaba-eyes-growth-in-other-markets-as-us-ties-strained-says-chairman" rel="noreferrer noopener">Alibaba Eyes Growth In Other Markets As US Ties Strained, Says Chairman</a>
The Chinese electric vehicle companies, including&nbsp;NIO Inc&nbsp;(NYSE:&nbsp;NIO) and XPeng Inc (NYSE: XPEV), also noted strong upward momentum.
On May 12, Beijing and Washington <a target="_blank" href="https://www.benzinga.com/government/regulations/25/05/45348699/us-listed-chinese-stocks-rally-as-countries-agree-to-ease-import-tariffs" rel="noreferrer noopener">agreed to lower</a> tariffs on each other&#8217;s products, temporarily offering relief to the stock market. The deal reduced U.S. levies of 145% on most Chinese imports to 30%, while China&#8217;s 125% duties on U.S. goods will drop to 10% for 90 days.
In April, President Trump&nbsp;hinted at a&nbsp;significant&nbsp;reduction in&nbsp;tariff rates.
During an investor summit, Treasury Secretary Scott Bessent&nbsp;acknowledged the impracticability and mutual challenges of a tariff war with China.
U.S. chip designer Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) reported <a target="_blank" href="https://www.benzinga.com/news/earnings/25/05/45657660/nvidia-q1-highlights-china-export-ban-hits-results-but-jensen-huang-says-demand-incredibly-strong" rel="noreferrer noopener">first-quarter results</a> on Wednesday. It faced an export ban on H20 products to China on April 9.
The company said it incurred a $4.5 billion charge in the first quarter related to H20 excess inventory and purchase obligations.
Price Actions:&nbsp;BABA stock is up 0.50%, and PDD is up 1.20%&nbsp;at&nbsp;the last check Thursday.
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Asia

Chinese Stocks Soar As US Court Blocks Trump Tariffs

Chinese AI startup DeepSeek, which triggered a <a href="https://www.benzinga.com/markets/equities/25/01/43256425/nvidia-says-deepseek-an-illustration-of-how-new-ai-models-can-be-created-while-being-export-control-compliant-amid-600-billion-market-value-plunge">$600 billion drop</a> in Nvidia Corporation's (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) market value with the release of its R1 model in January, has quietly launched an updated version of its reasoning model.
What Happened: The model, dubbed R1-0528, was uploaded in the early hours of Thursday to the developer platform Hugging Face without a formal public announcement, reported Reuters.
Despite the low-key release, the model quickly gained attention.
On the LiveCodeBench leaderboard—a benchmark created by researchers from UC Berkeley, MIT and Cornell—R1-0528 ranked just behind OpenAI's o4 mini and o3 models in code generation.
See Also:&nbsp;<a href="https://www.benzinga.com/tech/25/05/45486639/sundar-pichai-reveals-google-parent-once-super-intensely-debated-about-buying-netflix-in-a-world-of-butterfly-effects" target="_blank" rel="noreferrer noopener">Sundar Pichai Reveals Google-Parent Once Super Intensely Debated About Buying Netflix: ‘In A World Of Butterfly Effects…&#8217;</a>
It <a href="https://www.benzinga.com/trading-ideas/movers/25/04/44625580/alibaba-steps-up-ai-game-with-qwen-3-challenging-deepseeks-low-cost-ai-success">also outperformed</a> xAI's Grok 3 mini and Alibaba Group Holdings's (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>) Qwen 3, underscoring DeepSeek's rising status.
DeepSeek's more advanced model, R2, is still expected later this year, the report added.
Why It's Important: Following R1's release in January, major Chinese firms like Alibaba and Tencent Holdings (OTC:<a class="ticker" href="https://www.benzinga.com/stock/TCEHY#OTC">TCEHY</a>) have <a href="https://www.benzinga.com/25/03/44101621/deepseek-loses-top-spot-as-tencents-yuanbao-ai-becomes-no-1-iphone-app-amid-intensifying-ai-battle">launched models that they</a> say outperform DeepSeek's.
Subscribe to the&nbsp;<a href="https://bztechtrends.beehiiv.com/subscribe" target="_blank" rel="noreferrer noopener">Benzinga Tech Trends newsletter</a>&nbsp;to get all the latest tech developments delivered to your inbox.
Alphabet Inc.'s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) Google also rolled out lower-cost Gemini access tiers, while OpenAI reduced pricing and introduced its o3 Mini model, designed to operate with reduced computational demands.
Previously, Demis Hassabis, CEO of Google DeepMind, acknowledged DeepSeek's AI model as arguably the most <a href="https://benzinga.com/markets/25/02/43586484/google-deepmind-ceo-calls-deepseek-ai-best-work-from-china-but-says-hype-is-overblown-theres-no-actual-new-scientific-advance">impressive to emerge from China</a>, while Alphabet CEO Sundar Pichai <a href="https://www.benzinga.com/25/02/43487551/sundar-pichai-acknowledges-deepseeks-ai-advancementsbut-says-googles-gemini-still-leads-in-cost-performance-and-latency">downplayed the threat</a> posed by the startup.
After witnessing China's DeepSeek top the App Store with an AI product built by just 200 engineers, Microsoft Corporation (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) CEO Satya Nadella reportedly <a href="https://www.benzinga.com/25/03/44529954/microsoft-ceo-satya-nadella-admits-chinas-deepseek-was-a-wake-up-call-tells-employees-its-time-to-build-real-products-not-just-research-thats-the-new-bar-to-me">pushed his teams to deliver results</a> with similar speed and real-world impact.
Benzinga Edge Stock Rankings awarded NVDA an impressive growth score of 98.75%. <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound">Click here to compare it with other top-performing stocks such</a> as Alphabet, Alibaba, Tencent, Microsoft and more.
<figure class="wp-block-image size-full"><a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound"><img decoding="async" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/29023210/Screenshot-2025-05-29-at-7.06.23%E2%80%AFAM-2.png" alt="" class="wp-image-930896" /></a></figure>
Photo Courtesy: mundissima on Shutterstock.com
Check out more of Benzinga&#8217;s Consumer Tech coverage by&nbsp;<a href="https://www.benzinga.com/topic/consumer-tech" target="_blank" rel="noreferrer noopener">following this link</a>.
Read Next:
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<li><a href="https://www.benzinga.com/25/05/45599346/why-googles-demis-hassabis-disagrees-with-co-founder-sergey-brin-on-when-agi-will-arrive-and-sets-a-much-higher-bar" target="_blank" rel="noreferrer noopener">Why Google&#8217;s Demis Hassabis Disagrees With Co-Founder Sergey Brin On When AGI Will Arrive: ‘I Have Quite A High Bar&#8217;</a></li>
</ul>
Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

GOOG

GOOGL

MSFT

China's DeepSeek Quietly Drops R1 AI Update That Nearly Matches OpenAI o4 Mini—And Beats Elon Musk's Grok 3 Mini

After years of being the poster child for China&#8217;s regulatory reckoning, Alibaba (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>) is now sending a different sort of signal to shareholders: It&#8217;s back, it&#8217;s profitable and it&#8217;s on the AI wave on a large scale. And for <a href="https://www.benzinga.com/etfs">ETF investors</a>, its return may be more than a BABA-centric tale, which might be a sign of a wider reawakening for China-centric tech ETFs.
The Numbers Don&#8217;t Lie, They Shout
Alibaba&#8217;s most <a href="https://www.benzinga.com/news/earnings/25/05/45437447/alibaba-stock-slides-5-after-revenue-miss-cloud-spend-hits-free-cash-flow">recent quarterly earnings</a> showed that the company&#8217;s revenue increased 7% year-over-year in the March quarter, which was a miss. However, operating income skyrocketed 93%, and adjusted EBITA jumped 36%. The jaw-dropping number? Net income expanded to $1.65 billion, an eye-opening 1,203% jump from the prior-year period. Even stripping out one-time gains, non-GAAP net income was up 22%. The company has also stepped up expenses, cut share-based compensation in half, and streamlined its sprawling platforms—all while accelerating cash flow by 18%. For a company once seen as a regulatory landmine, Alibaba is now flexing financial discipline and strategic clarity.
Also Read: <a href="https://www.benzinga.com/trading-ideas/movers/25/05/45620670/alibaba-eyes-growth-in-other-markets-as-us-ties-strained-says-chairman">Alibaba Eyes Growth In Other Markets As US Ties Strained, Says Chairman</a> Alibaba&#8217;s Not-So-Secret Weapon
As e-commerce remains the company&#8217;s anchor business, Alibaba&#8217;s Cloud Intelligence Group is shaping up to be the next significant growth driver. The cloud unit increased revenue by 18% YoY to $4.15 billion, while adjusted EBITDA surged 69%. But the real news is what&#8217;s fueling that growth: artificial intelligence.
Alibaba has now reported seven straight quarters of triple-digit revenue growth from AI-driven cloud products. CEO Eddie Wu has referred to generative AI as the key driver here, a trend that international investors are following closely, particularly as AI emerges as the next wave across enterprise and consumer applications. The ETF Implication: Who&#8217;s Holding The Bag (In A Good Way)?
For&nbsp;investors&nbsp;in&nbsp;ETFs who want&nbsp;to&nbsp;play&nbsp;Alibaba&#8217;s&nbsp;rebound&nbsp;without&nbsp;committing&nbsp;all&nbsp;to&nbsp;a&nbsp;single&nbsp;stock,&nbsp;there&nbsp;are many&nbsp;funds&nbsp;with&nbsp;significant&nbsp;exposure: KraneShares CSI China Internet ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KWEB#NYSE">KWEB</a>)
With 12% weighting in Alibaba, KWEB has been a favorite among those wagering on the Chinese internet rebound. The ETF also provides some exposure to Tencent (OTCPK: TCEHY), JD.com (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/JD#NASDAQ">JD</a>), and Meituan, providing diversified access to the group. Invesco Golden Dragon China ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PGJ#NASDAQ">PGJ</a>)
This fund invests in U.S.-listed Chinese shares, such as Alibaba (8% weightage), and goes heavy on tech-heavy names. It provides a pure play for those interested in the innovation economy of China without having to contend with A-shares. iShares MSCI China ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MCHI#NASDAQ">MCHI</a>)
A more diversified China play and a significant position in Alibaba (~10%), MCHI may attract investors who want to mix tech with some exposure to financials, real estate, and industrials. Not All Dragons Breathe Fire
While Alibaba&#8217;s Q4&nbsp;results&nbsp;are&nbsp;certainly&nbsp;to be applauded, it&#8217;s not&nbsp;a&nbsp;decade&nbsp;of&nbsp;peace&nbsp;and&nbsp;prosperity&nbsp;on the China tech horizon. The&nbsp;larger&nbsp;China tech&nbsp;story&nbsp;is&nbsp;still&nbsp;susceptible&nbsp;to geopolitical&nbsp;stress,&nbsp;local&nbsp;regulator&nbsp;switches, and sentiment investor turns. ETFs can insulate single-stock risk but aren&#8217;t proof against macro headwinds.
Nevertheless, the green shoots are difficult to overlook. Following years of investor doubts, Alibaba&#8217;s robust quarter may be the catalyst China tech ETFs have been waiting for.
For ETF investors, particularly those who hold long positions in KWEB, PGJ, and MCHI, the last earnings call hinted that the tide could be turning for China tech. With AI traction, cloud profitability, and a solid core commerce engine, Alibaba no longer looks like a cautionary tale. The Alibaba stock is up 38% year-to-date.
Read Next: 
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Photo: Shutterstock

Specialty ETFs

ETFs

KWEB

MCHI

PowerShares Golden Dragon Halter USX China Portfolio

China Tech's Revival Starts With Alibaba: ETFs To Watch As The Dragon Wakes

Live On CNBC, Joe Terranova Announces Sold Alibaba Group

Investors with a lot of money to spend have taken a bullish stance on Alibaba Gr Hldgs (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>).
And retail traders should know.
We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.
Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with BABA, it often means somebody knows something is about to happen.
So how do we know what these investors just did? 
Today, <a href="https://www.benzinga.com/pro/">Benzinga</a>'s options scanner spotted 69 uncommon options trades for Alibaba Gr Hldgs.
This isn't normal.
The overall sentiment of these big-money traders is split between 46% bullish and 43%, bearish.
Out of all of the special options we uncovered, 25 are puts, for a total amount of $2,265,996, and 44 are calls, for a total amount of $2,307,914.
<h3>Expected Price Movements</h3>
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $10.0 to $175.0 for Alibaba Gr Hldgs during the past quarter. 
<h3>Insights into Volume &amp; Open Interest</h3>
Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Alibaba Gr Hldgs's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Alibaba Gr Hldgs's substantial trades, within a strike price spectrum from $10.0 to $175.0 over the preceding 30 days.
<h3>Alibaba Gr Hldgs Option Activity Analysis: Last 30 Days</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1748448059_0.png" alt="Options Call Chart" />
<h3>Noteworthy Options Activity:</h3>

<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Ask</th>
<th>Bid</th>
<th>Price</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th>Open Interest</th>
<th>Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>BABA</td>
<td>PUT</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>08/15/25</td>
<td>$2.03</td>
<td>$1.86</td>
<td>$1.92</td>
<td>$100.00</td>
<td>$480.0K</td>
<td>3.1K</td>
<td>2.5K</td>
</tr>
<tr>
<td>BABA</td>
<td>PUT</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>09/19/25</td>
<td>$2.87</td>
<td>$2.74</td>
<td>$2.82</td>
<td>$100.00</td>
<td>$352.5K</td>
<td>8.5K</td>
<td>1.2K</td>
</tr>
<tr>
<td>BABA</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>12/19/25</td>
<td>$31.85</td>
<td>$31.7</td>
<td>$31.85</td>
<td>$145.00</td>
<td>$254.8K</td>
<td>630</td>
<td>120</td>
</tr>
<tr>
<td>BABA</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>09/19/25</td>
<td>$8.95</td>
<td>$8.85</td>
<td>$8.95</td>
<td>$120.00</td>
<td>$170.9K</td>
<td>6.9K</td>
<td>1.1K</td>
</tr>
<tr>
<td>BABA</td>
<td>CALL</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>09/19/25</td>
<td>$9.1</td>
<td>$8.95</td>
<td>$8.95</td>
<td>$120.00</td>
<td>$143.2K</td>
<td>6.9K</td>
<td>1.5K</td>
</tr>
</tbody>
</table>

<h3>About Alibaba Gr Hldgs</h3>
Alibaba is the world's largest online and mobile commerce company as measured by gross merchandise volume. It operates China's online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer). The China commerce retail division is the most valuable cash flow-generating business at Alibaba. Additional revenue sources include China commerce wholesale, international commerce retail/wholesale, local consumer services, cloud computing, digital media and entertainment platforms, Cainiao logistics services, and innovation initiatives/other.
<h3>Present Market Standing of Alibaba Gr Hldgs</h3>
<ul>
<li>Currently trading with a volume of 4,932,340, the BABA's price is down by -2.08%, now at $117.03. </li>
<li>RSI readings suggest the stock is currently is currently neutral between overbought and oversold.</li>
<li>Anticipated earnings release is in 78 days.</li>
</ul>
<h3>What The Experts Say On Alibaba Gr Hldgs</h3>
3 market experts have recently issued ratings for this stock, with a consensus target price of $159.33.
Unusual Options Activity Detected: Smart Money on the Move
Benzinga Edge's Unusual Options board spots potential market movers before they happen. See what positions big money is taking on your favorite stocks. <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-checkout/?t=Be8be9arja3be22bz20&amp;adType=benzinga-insights&amp;ad=options-activity&amp;campaign=wallstreetadvantage">Click here for access</a>. 
&#x2A; An analyst from Baird has decided to maintain their Outperform rating on Alibaba Gr Hldgs, which currently sits at a price target of $142. 
&#x2A; An analyst from Benchmark has decided to maintain their Buy rating on Alibaba Gr Hldgs, which currently sits at a price target of $176. 
&#x2A; Maintaining their stance, an analyst from Mizuho continues to hold a Outperform rating for Alibaba Gr Hldgs, targeting a price of $160. 
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Alibaba Gr Hldgs options trades with real-time alerts from <a href="https://www.benzinga.com/pro/">Benzinga Pro</a>.

Smart Money Is Betting Big In BABA Options

Alibaba Group Holding (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BABA#NYSE">BABA</a>)&nbsp;Chairman&nbsp;Joe Tsai&nbsp;<a target="_blank" href="https://www.benzinga.com/topic/alibaba-group" rel="noreferrer noopener">urged Asian companies</a> to explore inter-Asia opportunities and the European market for growth amid intensifying geopolitical tensions.
During a tech conference in Macau on Saturday, Tsai alleged some governments were hampering the bridge between Asia and the rest of the world, Bloomberg <a target="_blank" href="https://www.bloomberg.com/news/articles/2025-05-24/alibaba-chair-says-asian-firms-can-look-for-growth-outside-of-us?sref=TBDibEcD" rel="noreferrer noopener">reported</a> on Saturday.
Tsai highlighted ample inter-Asia business activity, signifying the potential for engagement between East Asia, Southeast Asia, and South Asia.
Also Read: <a target="_blank" href="https://www.benzinga.com/media/25/05/45588377/alibaba-clouds-wang-jian-predicts-rapid-ai-growth-highlights-youth-innovation-as-key-drivers" rel="noreferrer noopener">Alibaba Cloud&#8217;s Wang Jian Predicts Rapid AI Growth, Highlights Youth, Innovation As Key Drivers</a>
He also mentioned Europe as an opportunity for Asian companies.
Recently, Washington and Beijing agreed to temporarily lower tariffs on each other&#8217;s products. The agreement will reduce US levies of 145% on most Chinese imports to 30%, while China&#8217;s 125% duties on U.S. goods will drop to 10% for 90 days.
The Trump administration has also raised&nbsp;concerns&nbsp;over&nbsp;Apple Inc&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) potential iPhone AI deal with Alibaba to salvage its market share in the country.
Apple <a target="_blank" href="https://www.benzinga.com/markets/asia/25/05/45503796/why-is-alibaba-stock-trading-lower-on-monday" rel="noreferrer noopener">lost market share</a> in the country to government-incentivized local vendors amid intensifying geopolitical tensions with Washington.
China also mandated that international companies tap a domestic company as a primary partner, prompting Apple to forge partnerships with Chinese companies.
On Saturday, Tsai told Bloomberg that Alibaba was on &#8220;a very good path&#8221; and reiterated the company&#8217;s focus on e-commerce and AI.
Alibaba Group stock surged over 42% year-to-date. It had reported fiscal fourth-quarter revenue growth of 7% to $32.58 billion, missing the <a href="https://www.benzinga.com/25/05/45473543/alibabas-cloud-and-e-commerce-units-shine-as-analyst-sees-ai-take-rates-fueling-future-growth" target="_blank" rel="noreferrer noopener">analyst consensus estimate</a> of $33.08 billion. It clocked an adjusted earnings per ADS of $1.73, which beat the analyst consensus estimate of $1.48. 
Price Actions:&nbsp;BABA stock is down&nbsp;1.02%&nbsp;at&nbsp;$119.50 at&nbsp;the last check on Tuesday.
Read Next:
<ul class="wp-block-list">
<li><a href="https://www.benzinga.com//node/45536373">Alibaba Says It Can Slash AI Training Costs By 90% With Newly Launched ZEROSEARCH — Here&#8217;s What It Does</a></li>
</ul>
Image via Shutterstock

AAPL

Alibaba Eyes Growth In Other Markets As US Ties Strained, Says Chairman

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="900" height="600" src="https://contributor-assets.benzinga.com/wp-content/uploads/2025/05/27065411/Meitu-0527-900x600-1.png" alt="" class="wp-image-13448" srcset="https://contributor-assets.benzinga.com/wp-content/uploads/2025/05/27065411/Meitu-0527-900x600-1.png 900w,https://contributor-assets.benzinga.com/wp-content/uploads/2025/05/27065411/Meitu-0527-900x600-1-300x200.png 300w,https://contributor-assets.benzinga.com/wp-content/uploads/2025/05/27065411/Meitu-0527-900x600-1-768x512.png 768w" sizes="(max-width: 900px) 100vw, 900px" /></figure>
The maker of beauty apps will sell $250 million worth of convertible bonds that could make the e-commerce giant its third-biggest shareholder
<h4 class="wp-block-heading">Key Takeaways:</h4>
<ul class="wp-block-list">
<li>Meitu and Alibaba have formed a major new partnership that will see the latter leverage the former's skills in video and photo apps</li>
<li>The deal could give Alibaba nearly 7% of Meitu's shares, and is one of Alibaba's biggest investments since it was fined $2.5 billion for anti-competitive behavior in 2021</li>
</ul>
Beauty app operator&nbsp;Meitu Inc.&nbsp;(1357.HK) is a company of many faces. After starting off as a popular but not very profitable app used by people to pretty up selfies, the company later found better business in providing similar software to professional outlets like cosmetic stores and photo studios that were more willing to pay for such products.
But the company always had an important asset in its huge base of more than 250 million users, mostly average consumers. More recently, it's been using the power of AI and social media to finally monetize that user base, which has once again become its main growth driver. Now, it's aiming to take its newfound success in the consumer market to the next level through a major new partnership&nbsp;<a href="https://www1.hkexnews.hk/listedco/listconews/sehk/2025/0520/2025052001407.pdf">announced last week</a>&nbsp;with e-commerce giant&nbsp;Alibaba&nbsp;(BABA.US; 9988.HK).
Under the deal, Alibaba will purchase $250 million worth of three-year convertible notes from Meitu with a conversion price of HK$6 per share. A full conversion in three years would give Alibaba 6.85% of Meitu's enlarged share capital, making it the company's third largest shareholder behind only Meitu co-founders Cai Wensheng and Wu Zeyuan.
From Alibaba's perspective, the tie-up is noteworthy because it's one of the company's largest investments in recent years and appears to show it is increasingly aware of the importance of social media and photo and video applications to the future of its core e-commerce business.
Alibaba was once quite acquisitive, buying billions of dollars worth of assets in areas from entertainment to media, takeout dining and brick-and-mortar retailing at the height of its buying binge in the 2010s. But that buying spree largely came to a halt in 2021 after the company was fined a record 18 billion yuan ($2.5 billion) for anti-competitive behavior as it grew too powerful and abused its market dominance.
This new partnership also looks notable for its international overtones, since both Alibaba and Meitu are trying to leverage their strengths by expanding overseas as growth in their home China market slows. More on that shortly.
Investors were quite excited by the announcement, at least initially, bidding up Meitu's shares by 19% the day after it came out last week. At their close of HK$7.02 that day, the stock was already 17% above the HK$6 exercise price for Alibaba's convertible bonds.
The shares have given back much of those gains since then, but are still up 6% from pre-announcement levels and have more than doubled since the start of the year. The analyst community is also quite bullish on Meitu, with three of the nine polled by Yahoo Finance rating the company a "strong buy," and the other six giving it a "buy." Still, we should also note that the company's Monday close of HK$6.26 is well below the HK$8.50 that it sold shares for at the time of its 2016 IPO.
"The board believes that this strategic collaboration will serve as the foundation of a long-term partnership between the company and the subscriber," Meitu said. "It will also allow the company to seize the opportunities brought by AI, driving the company's long-term growth."
<h4 class="wp-block-heading">E-commerce tools</h4>
Meitu's growing business that incorporates e-commerce tools appears to be at the center of this deal. Whereas its earlier apps mostly allowed people to beautify photos of themselves, Meitu's latest apps are far more sophisticated, drawing on AI and faster computing power to let people do things like virtually sample makeup and try on clothes. Equally important, they allow people to make in-app purchases of products after trying them out.
That business falls under the "photo, video and design products" segment in Meitu's financial reports, and is the fastest growing of its three main revenue sources. Revenue from that category jumped 57% year-on-year last year to 2.09 billion yuan, growing to 63% of the company's 3.34 billion yuan for the year. By comparison, its business of selling software as a service (SaaS) to companies like makeup stores and photo shops, known as "beauty industry solutions" in its reports, fell 32% year-on-year to 385 million yuan, accounting for 12% of its total. The rest of its revenue came from advertising.
The takeoff of the "photo, video and design products" business is directly tied to the company's huge base of 266 million monthly active users (MAUs) at the end of last year. Meitu is increasingly able to convert those to paying users with its more sophisticated products. Its number of paying subscribers rose 38.4% last year to 12.6 million.
Equally important is Meitu's success growing its user base outside China, especially as the Chinese economy slows and consumers become more cautious. Its China-based users totaled 171 million at the end of last year, roughly the same as a year earlier. But its international user base grew 22% to 94.5 million, accounting for 36% of its total.
Alibaba no doubt likes Meitu's in-app selling ability, and also its growing international user base. Meanwhile, Meitu is undoubtedly salivating at a chance to get its apps into the smartphones and PCs of Alibaba's hundreds of millions of users worldwide.
Alibaba will "prioritize the promotion of (Meitu's) AI e-commerce tools on its global e-commerce platforms, assisting the company in developing new tools and/or features for data-driven e-commerce image and video generation," Meitu said in its announcement. It added that the two companies will also "cooperate and jointly develop various foundational models and vertical-domain large language models, including video generation models, image generation models, multimodal models and voice models."
As part of the deal, Meitu has also agreed to buy 560 million yuan worth of services from Alibaba's cloud unit within the first 36 months of the agreement, suggesting another area where the pair could collaborate in the future.
Following the rally for its stock this year, Meitu's shares currently trade at a price-to-earnings (P/E) ratio of 31. While that looks somewhat high, it's actually well below the 43 for&nbsp;Salesforce&nbsp;(CRM.US) and even higher 83 for&nbsp;Shopify&nbsp;(SHOP.US). That suggests Meitu's stock could still have some further upside potential, especially if it leverages the new Alibaba tie-up to maintain or even accelerate its recent growth.

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