THIS 'MIDDLEMAN' RETAILER IS SOARING
Today's chart highlights a massive online retailer...
No, we're not talking about Amazon (AMZN)... We're talking about China's version, Alibaba (BABA). Alibaba.com is a global marketplace for wholesale goods. That means it connects global importers with Chinese exporters.
And it does a lot of connecting... Alibaba saw nearly $550 billion in online transactions during its 2017 fiscal year.
The real difference between Alibaba and Amazon isn't the company's wholesale focus – Alibaba owns other websites that cater to individuals, too. The difference is that Alibaba is just a middleman, like eBay (EBAY) or Etsy...
The company connects buyers and sellers, but doesn't have to warehouse the inventory. That's a good strategy for generating big profits...
Last quarter, Alibaba's sales and profits jumped 56% and 90%, respectively. The company reported a huge 29% profit margin.
And as you can see below, its shares are on a tear this year. They've nearly doubled since January... and recently hit a new all-time high. As the global boom in online shopping continues, Alibaba will thrive...
Source: Daily Wealth