Is Alibaba Stock A Buy Right Now?

Ant Group's initial public offering was suspended on the Shanghai and Hong Kong stock exchanges on Nov 3, a day after Chinese regulators summoned its billionaire cofounder, Jack Ma, and two top executives. The surprise move in China is stirring questions from investors. Is Alibaba still a buy now？

When it comes to liquid, megacap stocks in China, it's hard to find a more compelling name than Alibaba. The stock has been a big winner since its IPO in September 2014.

Alibaba's business in China looks a lot like Amazon's in the U.S. Alibaba's cloud-computing business is showing solid growth, just like Amazon's booming web services business.

For a megacap stock, Alibaba continues to deliver torrid growth. But earnings and sales growth slowed dramatically in May, hurt by the coronavirus outbreak. Adjusted profit inched up 2% year over year to $1.30 a share. But that was well above the consensus estimate of 85 cents. Revenue increased 16% to just over $16.14 billion, also above expectations of $15.1 billion.