Alibaba's stock, represented by the HBBD.SI SDR, surged 4.56% during the pre-market session. The significant upward movement follows the release of the company's annual financial report, which highlighted artificial intelligence (AI) as a central and profitable growth engine.
According to the report, Alibaba's full-stack AI technology investment has moved beyond its initial phase into a period of scaled commercial returns. The company's external commercial cloud revenue growth accelerated to 40%, with AI-related revenue now accounting for 30% of that segment. Management expressed strong confidence in the AI trend, announcing plans to significantly increase future capital expenditures to capitalize on the massive demand.
The broader positive sentiment around Hong Kong-listed technology giants, which have collectively reported robust results driven by AI capabilities in computing power, models, and applications, has also contributed to the bullish momentum for Alibaba's stock.
