Do You Have These Chinese Stocks On Your Watchlist Today?
Chinese stocks were skyrocketing across the board on Wednesday amid Beijing’s strong push to stabilize financial markets. This has lured investors to buy on dips after a relentless sell-off over the past few months. While the reassurance from Beijing has staged a strong comeback for Chinese stocks after what seemed like a bottomless decline, investors are wondering how sustainable this rebound can be. Could it be a dead cat bounce? Or is the bottom behind us? According to Chinese state media, it appears that the crackdown on technology companies could end soon. What’s more, Bloomberg reported earlier today that China is considering to let U.S. regulators inspect less sensitive companies’ audits to avoid potential delisting.
With all this news, I can understand why some investors are putting up a list of top Chinese stocks to buy in the stock market today. Take Alibaba (NYSE: BABA) for instance. Despite surging 37% on Wednesday, the stock is still down more than 50% over the past year. Some may argue that many Chinese stocks are still trading at discount valuations and this recovery has been a long time coming. With all said and done, the question remains, can these stocks build on this momentum moving forward? If you think so, then here are some of the top Chinese stocks in the stock market today worth looking at.
Chinese Stocks To Buy [Or Sell] Right Now
- JD.Com Inc (NASDAQ: JD)
- Baidu Inc (NASDAQ: BIDU)
- Xpeng Inc (NYSE: XPEV)
- Li Auto Inc (NASDAQ: LI)
- Bilibili Inc (NASDAQ: BILI)
JD.com is an e-commerce company operating through two segments, JD Retail, and New Businesses. The JD Retail segment consists of online retail, online marketplace, and marketing services in China. Meanwhile, the New Businesses segment is responsible for logistic services provided to third parties, technology initiatives, and asset management services to logistics property investors. JD stock saw a strong rebound on Wednesday’s trading session, soaring by 39% during the day.
Earlier this week, the company’s JD Logistics announced that it has entered into a series of agreements for the proposed acquisition of Deppon Logistics. For the uninitiated, Deppon is an integrated, customer-centered logistics company that provides a wide range of solutions in China. This includes less-than-truckload transportation, delivery services, full truck-load transport, and warehousing management. Safe to say, this investment appears to be one for the future amid the growing role of e-commerce in retail. With that in mind, would JD stock have a place in your portfolio?
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Another top Chinese company to note right now would be Baidu. Much like Google, the company is an Internet search provider in China. The company’s Baidu.com is a website that allows users to find information online, including news, images, documents, and many more. Besides that, it also operates a Baidu Core segment that provides online marketing services and the company’s new artificial intelligence initiatives. BIDU stock also skyrocketed on Wednesday’s trading session with a single-day rise of 39%.
The company’s Baidu AI Cloud started the month of March by launching an AI sign language platform. The platform can generate digital avatars for sign language transition and live interpretation within minutes. Thus, it aims to help break down communication barriers for the deaf and hard-of-hearing community by boosting the accessibility of automated sign language transition. With this initiative, Baidu could help to address the shortage of qualified sign language translators. All things considered, should you invest in BIDU stock today?
As some of you would be aware, China is one of the leaders in the adoption of electric vehicles (EVs). Well, Xpeng is a company that has contributed greatly to this growth within the region. Put simply, it specializes in the development and sales of smart EVs that primarily target the mid-to-high-end segment in China’s passenger vehicle market. The company’s primary products are the G3 sport utility vehicles (SUV), and the P7 sports sedan. Not to mention, Xpeng also provides supercharging service, maintenance services as well as ride-hailing services.
On Monday, Xpeng announced that it has joined three major European automobile associations. This includes the European Association for Electromobility (AVERE), Royal RAI Vereniging / RAI Association (RAI), and BIL Sweden. The move solidifies its long-term commitment to developing a smarter and greener mobility ecosystem in the continent. Also, these new connections would hopefully accelerate the development of electrification, and digitization technologies for the sector. With this development, is XPEV stock a buy?
Similar to Xpeng, Li Auto is a China-based new energy passenger vehicle automaker. On top of that, the company also sells peripheral products and provides related services, such as charging stalls, vehicle Internet connection services, and extended lifetime warranties. As of now, the company’s primary products are SUVs under its brand Li ONE. The Li ONEs was released in May 2021 and was immediately a hit among consumers. Thus, it is understandable why EV enthusiasts are often on the lookout for LI stock.
Li Auto started the month by announcing its latest delivery updates. Impressively, it delivered 8,414 Li ONEs in February 2022, representing an increase of 265.8% year-over-year. This brings the cumulative deliveries of Li ONEs to 144,770 since its market debut. That said, investors can expect a better month-to-month improvement in its deliveries for March as the February figures are lower due to the Lunar New Year holidays. Considering these factors, do you believe LI stock could continue its momentum moving forward?
Lastly, we will be looking at the online entertainment service provider, Bilibili. Its products and services are catered to the younger generations in China. This ranges from mobile games to value-added services such as comics and audio content. Users could generate professional videos, occupationally generated videos, and even perform live broadcasting. Impressively, BILI stock soared by just over 47% on Wednesday.
Earlier this month, Bilibili also reported strong financials. During the company’s fourth quarter, its total net revenues improved to $907.1 million, up by 51% year-over-year. Meanwhile, its average monthly active users reached 271.7 million, representing an increase of 35%. Overall, the company’s growth has been steady and appears to be in a position to sustain it. Therefore, would it be the right time to jump on the BILI stock bandwagon?