CMB Securities: Alibaba's inclusion in the Hong Kong Stock Connect may bring 10 to 15% increase in trading liquidity

CMB Securities released a report stating that Alibaba was officially included in the Stock Connect yesterday. The bank continues to be optimistic about the company's improved competitive position, revenue growth, attractive shareholder returns, reiterating a "buy" rating with a target price of 123 Hong Kong dollars. The bank pointed out that after successfully completing dual listings in Hong Kong and the United States, Alibaba was officially included in the Stock Connect yesterday. The bank estimates that Alibaba's inclusion in the Stock Connect may bring about a 10-15% increase in trading liquidity. The bank believes that Alibaba has multiple drivers to boost its prospects, first by shifting its focus to GMV growth and the slowdown in GMV growth on its live e-commerce platform, which the bank sees as improving its competitive position marginally