Alibaba Stock Climbs Premarket After 6-Day Losing Streak

• Alibaba’s Qwen app tops the charts on Apple App Store in China.
• BABA investors are closely tracking updates related to Nvidia H200 sales in China.
• After a six-day losing streak, Stocktwits sentiment for BABA turns ‘bearish.’ 

U.S.-listed shares of Alibaba Group Holding rose about 0.5% in early premarket trading on Friday, following six consecutive sessions in the red, amid a broader U.S. market selloff that dragged tech stocks lower. 

The KraneShares CSI China Internet ETF (KWEB) has dipped 8.5% over the past five sessions.

At a fundamental level, investors are upbeat about Alibaba’s progress in AI development, even though sluggish core e-commerce growth weighs on their sentiment.

On Friday, news service MKTNews reported that Alibaba’s Qwen AI app topped the charts for free apps on the Apple App Store in China. Last month, downloads for the underlying AI models, also known as Qwen, topped 700 million on code-sharing site Hugging Face, the South China Morning Post reported.

BABA stock is also sensitive to the outcome of a decision on the sale of Nvidia’s H200 chips to China, an issue that has been caught in a diplomatic quagmire for months.

Last week, Reuters reported that Chinese authorities have approved ByteDance, Alibaba, and Tencent to collectively buy more than 400,000 H200 chips. Chinese companies are seeking imports of about 2 million of those chips, the news agency reported.

Meanwhile, a separate report earlier this week said the U.S., which had approved H200 sales two months back, might be considering additional restrictions.

After a strong run in 2025, BABA's underwhelming performance this year is starting to test retail investors’ patience. Stocktwits sentiment has been declining steadily since the start of last week and was ‘bearish’ as of the last reading.

A user posted a mixed view: “$BABA firstly, we are doing incredibly well compared to what is a market crash and will be categorised as a bear market next week… However, I do fear the Iran situation and our own results. I’m thinking any sort of pump and use those funds for puts.”

Despite the recent slide, Alibaba shares are still up 7.6% year-to-date.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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