Close menu

January 10th, 2023 | 11:35 CET

BYD, Alpina Holdings, Alibaba - Turnaround in Asia

  • Technology
  • Investments
Photo credits:

Asian stock markets are on the verge of a powerful rebound. Due to the Zero-COVID strategy in China in recent months, the markets corrected due to concerns of a sustained economic slowdown. With an end to the lockdown, signs are pointing to growth again. After a massive sell-off, there are attractive opportunities for short-term trading gains, especially in technology stocks.

time to read: 3 minutes | Author: Stefan Feulner

Table of contents:

    Alibaba - Ma clears the way

    It was around two years ago when the authorities put a stop to the USD 37 billion IPO of Alibaba subsidiary Ant Group shortly before it was to be listed. The interconnections within the Company structure with its parent Alibaba were too close. Now founder Jack Ma is reacting and relinquishing control of the leading Chinese financial technology provider. The billionaire previously held 53.48% of the voting rights in Ant Group; the change reduces his stake to 6.2%.

    By relinquishing control, an IPO could now be within reach again for Ant Group. However, listing requirements are likely to further delay an IPO. The change of shareholders would further prevent Ant Group from being listed on the stock exchange within the next 12 months, according to the regulations.

    Positive voices came from the US investment bank Morgan Stanley. They see Alibaba as a top pick among Chinese Internet stocks and raised the price target from USD 100 to USD 150. Against the current relaxed regulatory environment, the group was forecast to outperform other Chinese dotcoms and achieve an adjusted CAGR of 18% of EBITA in 2023-26. Alibaba is also expected to emerge as one of the primary beneficiaries of China's reopening, as well as a proxy through which foreign capital from global investors is expected to flow into the Chinese market.

    Alpina Holdings - Dividend pearl with a P/E ratio of 2

    For the past 17 years, Singapore-based Alpina Holdings has established itself in the real estate and construction services market and counts primarily public sector clients among its clientele. These include the Singapore government, agencies and ministries, and public universities or institutions. The Company focuses on providing integrated building services (IBS), M&E engineering services (M&E), and alterations and additions (A&A). Here, the Company holds licenses of the highest classification to gain access to projects without bidding and without project limits.

    In IBS, customer contracts typically run between 1 to 4 years and mainly cover maintenance services on building systems. In contrast, M&E engineering services are provided on a project-by-project basis. They include the installation, replacement and upgrade of M&E systems, including panels, distribution boards, luminaires, lightning protection systems, ACMV systems, pumping systems and fire protection systems. The A&A work performed by the group is for fixed-term contracts ranging from 2 to 4 years. The scope of work may include construction and M&E work completed according to work orders issued from time to time during the contract period.

    According to management, demand for customized integrated facilities management and IBS services is increasing as more buildings age and require higher levels of care and management. By overlapping the two businesses, Alpina Holdings can leverage its synergies.

    The results achieved last year show the huge demand for extended facilities management. With revenues of EUR 36.4 million and earnings of EUR 6.5 million in 2021, Alpina Holdings has a price-to-earnings ratio of just 2. In addition, with a dividend yield of over 7%, which is far above the market, the Company is attractive. The operating margin is around 20%, and the market capitalization hovers around the EUR 20 million mark. In addition to Singapore, the shares are also traded in Frankfurt.

    BYD - Buffett continues to sell blithely

    Despite a slide in the BYD share price of around 40% in the past six months, Berkshire Hathaway founder Warren Buffett continues to sell. The investing legend sold 1,058,000 shares of the Chinese electric car company on January 3. As a result, the shareholding decreased from 15.99% to 14.95%.

    Fundamentally, however, things continue to run smoothly at the "Build Your Dream" company. BYD sold 235,197 New Energy Vehicles (NEVs) in December, a new record. That brought cumulative NEV sales for the full year 2022 to 1,863,494 units.

    The Company also added to its product lineup by introducing a new luxury brand. Yangwang is to be the name of the noble range, and the cost point of the respective models is to be around CNY 1 million, which is around EUR 140,000. Blade battery technology is to form the foundation of the noble cars. BYD wants to start with an off-road SUV called U8.

    The end of the Zero-COVID policy opens up several rebound opportunities after the sell-off. Alibaba has potential, according to Morgan Stanley. The fundamentals are still right for BYD. Alpina Holdings is attractive, with a P/E ratio of 2 and a dividend yield of over 7%.

    Conflict of interest

    Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may hold shares or other financial instruments of the aforementioned companies in the future or may bet on rising or falling prices and thus a conflict of interest may arise in the future. The Relevant Persons reserve the right to buy or sell shares or other financial instruments of the Company at any time (hereinafter each a "Transaction"). Transactions may, under certain circumstances, influence the respective price of the shares or other financial instruments of the Company.

    In addition, Apaton Finance GmbH is active in the context of the preparation and publication of the reporting in paid contractual relationships.

    For this reason, there is a concrete conflict of interest.

    The above information on existing conflicts of interest applies to all types and forms of publication used by Apaton Finance GmbH for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and the like on These contents are exclusively for the information of the readers and do not represent any call to action or recommendations, neither explicitly nor implicitly they are to be understood as an assurance of possible price developments. The contents do not replace individual expert investment advice and do not constitute an offer to sell the discussed share(s) or other financial instruments, nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but a journalistic or advertising text. Readers or users who make investment decisions or carry out transactions on the basis of the information provided here do so entirely at their own risk. No contractual relationship is established between Apaton Finance GmbH and its readers or the users of its offers, as our information only refers to the company and not to the investment decision of the reader or user.

    The acquisition of financial instruments involves high risks, which can lead to the total loss of the invested capital. The information published by Apaton Finance GmbH and its authors is based on careful research. Nevertheless, no liability is assumed for financial losses or a content-related guarantee for the topicality, correctness, appropriateness and completeness of the content provided here. Please also note our Terms of use.

    Der Autor

    Stefan Feulner

    The native Franconian has more than 20 years of stock exchange experience and a broadly diversified network.
    He is passionate about analyzing a wide variety of business models and investigating new trends.

    About the author

    Related comments:

    Commented by Nico Popp on January 25th, 2023 | 13:56 CET

    JinkoSolar, Volkswagen, Meta Materials: The growth stock that has it all

    • metamaterials
    • Innovations
    • Technology

    The media success of the AI tool ChatGPT has once again shown that innovations move people. The future is also in demand again on the stock market: growth companies are making significant gains and developing their own momentum. We present a company that can drive both innovative Greetech companies and long-established industrial stocks with its technology. The Company, listed on the Nasdaq, has nothing less than a revolution on offer. We will explain exactly what it is all about in three minutes.


    Commented by Armin Schulz on January 25th, 2023 | 13:48 CET

    Vonovia, Alpina Holdings, Commerzbank - Has the real estate market bottomed out?

    • Investments
    • RealEstate

    The past few years have been an El Dorado for the real estate sector. But since interest rates started rising, dark clouds have gathered over the real estate market. In addition, the sharp rise in construction costs and inflation are pulling money out of the pockets of interested real estate buyers and making them reluctant to make purchasing decisions. According to a study by EY Real Estate, the real estate investment market slumped by 40% in 2022. In 2023, transaction volumes could fall further. We take a look at three companies around the real estate sector and highlight the opportunities and risks.


    Commented by Stefan Feulner on January 23rd, 2023 | 10:11 CET

    Aurelius, Smartbroker Holding AG, Hypoport - Strong movements

    • Investments
    • Financial

    For years, the construction industry was booming. However, the sector slid into a deep crisis last year due to rising construction costs and the end of low interest rates. Experts are not yet giving the all-clear for the current year, either. The figures for online brokers were also down sharply. As a result, the share prices of the companies concerned plummeted. At a discounted level, this offers attractive entry opportunities for a company that should enjoy an absolutely unique selling proposition in the event of a successful launch of its new platform.