[Stock Prediction] Tencent or Alibaba — Which one are you betting on this earnings season?
This week, two Chinese tech giants are stepping into the spotlight: $TENCENT(00700)$ and $BABA-W(09988)$ $Alibaba(BABA)$ Which one are you betting on this earnings season?
What to Watch
$TENCENT(00700)$ reports on March 18
Wall Street is expecting revenue of about RMB 193.5 billion, up 14.6% from a year ago. EPS is expected to come in at RMB 7.02, up 28.5%.
Tencent’s main business still looks strong.
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Gaming should remain the backbone, with older hit titles still bringing in cash and newer games adding extra support. Its international gaming business is also expected to stay strong.
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Advertising is another bright spot. Video Accounts, Search, and Mini Programs are still driving ad growth, and AI tools are helping Tencent target ads more efficiently.
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The biggest question is margins. Tencent has been spending more on AI, so investors will want to see how much that spending is starting to weigh on profits.
$BABA-W(09988)$ $Alibaba(BABA)$ reports on March 19
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The market is expecting revenue of about RMB 291.2 billion, up 4.1% year over year. EPS is expected to be RMB 12.1, which would be down sharply from last year.
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Alibaba’s story is more of a transition story.
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Cloud and AI are the biggest areas to watch. Investors want to know whether Alibaba’s AI push is turning into real business growth, especially in cloud.
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Its commerce business is still important, but margins are under pressure as the company keeps spending to grow instant retail and defend market share.
That means Alibaba may still deliver solid growth, but the market will be watching closely to see whether all this heavy spending is actually starting to pay off.
How to Join
Drop your pick in the comments:
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Tencent or Alibaba — Which one are you betting on this earnings season?
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Feel free to explain your take using whatever angle you want — AI, cloud, gaming, ads, margins, or valuation.
Rewards
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Tigers who guess correctly will split 1,000 Tiger Coins.
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We’ll also randomly pick 1 lucky user to receive Tiger merch or 100 Tiger Coins.
Event Period
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Now through March 19, 8:00 PM Beijing Time
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阿里巴巴-SW $阿里巴巴-W(09988)$ $阿里巴巴(BABA)$ 正在转型。云和人工智能是关键的增长动力，但对即时零售和市场份额防御的大量投资正在拖累利润，使近期业绩难以预测。如果其人工智能货币化开始显示出吸引力，阿里巴巴-SW可能会出人意料地上涨，但与腾讯控股相比，风险仍然更高。
我押注腾讯控股的短期业绩稳定，同时密切关注阿里巴巴-SW，寻找其人工智能和云投资正在获得回报的迹象。这是近期可预测性和长期潜力之间的权衡。
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