Alibaba: Munger Is Not The Thesis
Recently the Daily Journal’s 13F revealed that the company trimmed its Alibaba position by 50%. It isn’t necessarily the case that former Chairman Charlie Munger sold due to weakening conviction on BABA stock itself.
However, Munger IS out of the picture in one very real way: he is no longer the Daily Journal’s Chairman.
For this reason, Alibaba can no longer be considered a Munger copy trade. In this article, I develop a fundamentals-based thesis for those who cloned Munger and now aren’t sure what to do.