Alibaba’s Hong Kong-listed shares surged 11% on Friday to HK$133.90, reaching their highest level since early 2022, as better-than-expected earnings fueled a broader rally in Chinese tech stocks.
The company’s December-quarter results topped forecasts, driven by a rebound in its core e-commerce segment and rising demand for AI-related services on Alibaba Cloud. The company also confirmed a partnership with Apple to support AI features in iPhones sold in China, further lifting market sentiment.
Investor confidence was also buoyed by reports that GameStop CEO Ryan Cohen holds a $1 billion stake in Alibaba, signaling strong insider confidence.
Chinese Tech Stocks Rally on AI Optimism
Alibaba’s rally lifted other Chinese tech names, with Baidu, Tencent, and JD.com gaining between 2% and 3.4%. Optimism surrounding China’s AI development—particularly following the launch of DeepSeek AI—continues to drive upward momentum.
Positioning itself as a major AI player, Alibaba has integrated its latest models into its cloud ecosystem, reinforcing its role at the forefront of China’s AI race.