Was Jim Cramer Right About Alibaba Group Holding Limited (BABA)?

We recently published a list of Jim Cramer Nailed These 11 Stock Predictions. In this article, we are going to take a look at where Alibaba Group Holding Limited (NYSE:BABA) stands against other stocks that Jim Cramer discusses.

Back in 2024, on May 20, a caller asked Jim Cramer whether Alibaba Group Holding Limited (NYSE:BABA) was finally investable despite years of geopolitical risk and low valuation. Cramer acknowledged the risk, but emphasized how cheap the stock had become.

“You know, I was talking to my buddy Dave Trear — he’s got a huge position — he was one of my thousand bosses that I had at Goldman. And we both admit — I mean, this is just one of the cheapest stocks. It’s the cheapest stock in the world. Cheapest major stock in the world. If you can stomach owning a stock that is from China — buy it. It’s what I have to say. And buy some more if it goes down.”

This was a great call by Cramer, rising by 39.44% since then. Alibaba Group Holding Limited (NYSE:BABA) is recovering as China cautiously reopens, though concerns about regulation and macro risk persist

Earlier this year, in April, Cramer said that he thinks that is the only Chinese stock worth looking at:

“The Chinese market is in bull market mode. The only one that I’ve supported the whole way is Alibaba. But I give you my blessing on this because right now it is the place to be and that is the right sector.”

Overall, BABA ranks 4th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of BABA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BABA and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.