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$Alibaba(BABA)$Charlie Munger bought baba shares in the first quarter of this year.. and in the recent filing of his company, daily journal, it is revealed that he nearly doubled his position.. 

He is the partner of warren buffett and the two are well known value investors, therefore it is not surprising that looking at the current valuation and the fundamentals of the company, it is of great value indeed.

Yes.. the company is facing very strong headwinds due to regulatory risk.. with the recent clampdown on tech stocks in general and fine, the contribution to common prosperity fund, and the potential for more clampdowns.

In addition, factors like the US and China tensionand the potential threat of delisting from US exchanges also play a part in depressing the stock price…

All these are external risks to the company.. Internally, we are still looking at solid growth, with decreasing expenses and increasing revenue. Baba is also diversifying from its e-commerce business into cloud-computing business, digital-media and digital-entertainment businesses.

I believe that the common prosperity fund is not the same as a fine. It is also not useful for the cinese government to just take the money from baba. The chinese government would want baba to do what it does best, which is innovate and createmore jobs and opportunities for the poor.. and in doing so, baba will also be gaining more market share into this group of population and obtaining a foothold into this potential future revenue stream when this group becomes more affluent and starts spending

@Tiger Stars