Cofounder treasures shares even as Alibaba takes beating
by Nancy Fei
Joseph Tsai said investing in the e-commerce giant was better than opting for 10-year treasury bills.
Tsai said the number of outstanding shares of Alibaba will be reduced by about 3 percent annually over the next three years, which, together with the dividend payout of US$1 (HK$7.80) per American depositary share means the yields could reach 4.5 percent, which is very close to yields for 10-year treasury bills.
The share plunge came after Alibaba's profit fell 69 percent year on year to 14.4 billion yuan (HK$15.7 billion) in the December quarter, driven by its equity investments and a decrease in income from operations due to impairments related to its video streaming service Youku and supermarket chain Sun Art.
Source: The Standard
https://www.thestandard.com.hk/section- ... es-beating