China stocks have shrugged off Trump tariff fears, buoyed by stimulus hopes, and are outperforming U.S. markets. A large number of Chinese stocks that trade in the U.S. are showing strength.
E-commerce giants Alibaba, JD.com, travel play Atour Lifestyle Holdings, online brokerage Futu Holdings and fintech Qifu Technology are all in or near buy
Investors should pay attention to many other Chinese stocks, such as messaging and gaming titan Tencent and online entertainment concern Bilibili
Don't forget EV makers, including Tesla rivals BYD, XPeng, Li Auto, Nio and Zeekr, as well as smartphone giant-turned-EV maker Xiaomi.
Global retailer Miniso also is worth watching.
Several of these stocks are setting up as well, while a number are too extended to be actionable.
Top China ETFs
Investors wary of buying an individual Chinese stock could choose ETFs such as KraneShares CSI China Internet ETF, iShares China Large-Cap ETF and Xtrackers Harvest CSI 300 China A-Shares ETF. But these ETFs are prone to big gap-ups and gap-downs as well.
Top China Stocks To Buy Or Watch Now
| Company | Ticker | Industry Group | Composite Rating |
|---|---|---|---|
| Futu Holdings | FUTU | Finance-Investment Banks/Brokers | 99 |
| Qifu Technology | QFIN | Financial Services-Specialty | 98 |
| Alibaba | BABA | Retail-Internet | 93 |
| JD.com | JD | Retail-Internet | 94 |
| Atour Lifestyle | ATAT | Leisure-Lodging | 97 |
Futu Stock
Futu Holdings is a Chinese online brokerage. It's benefited from a revival in Chinese stock markets.
Q4 earnings jumped 105% vs. a year earlier while revenue soared 88% to $570.6 million, both the third straight quarters of accelerating growth. Paying clients and overall users rose sharply.
Futu stock ran up in late September to early October like many other China stocks on stimulus hopes, blasting out of a base. Shares gave up most of those gains until finding support at the 200-day line in January. Futu stock quick raced up the right side of a base, briefly topping the 130.50 buy point before falling back. Investors can view the recent action as a handle or high handle, with a 130.88 buy point. On March 14, shares jumped, breaking the downtrend of the handle. Investors also could use 122.64 as an early entry.
Futu tends to make big swings up and down.
Qifu Technology Stock
Qifu Technology is in a fintech providing credit to consumers and small businesses team with financial institutions.
Q3 earnings jumped 78% vs. a year earlier, the second straight quarter of accelerating growth. Revenue rose just 6% to $622.7 million.
Q4 results were strong with Qifu also raising its dividend by 17% and announcing a $350 million share buyback.
Qifu stock chart doesn't show the ups and downs of many Chinese stocks surrounding stimulus hopes and disappointment. Shares broke out last August, ran up to early December and broke out again in late January. QFIN stock has largely traded around the buy zone since then, more recently trading around the 21-day and 50-day lines. On March 14, shares gapped up from the 50-day line to clear the buy zone. But shares also broke the downtrend of an emerging new consolidation. That offered an entry, but just ahead of earnings.
QFIN stock gapped up on March 17 following earnings, briefly hitting a new high.
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Alibaba Stock
Alibaba is an e-commerce, cloud-computing and artificial intelligence giant.
Earnings for the December-ended fiscal Q3 rose 10% vs. a year earlier, up from a fractional gain in Q2 and a 6% drop in Q1. Revenue rose 5% to $38.4 billion, ending two quarter of modestly accelerating growth.
While the bulk of the business remain in e-commerce, cloud-computing growth has been faster. More recently, Alibaba's move in AI has fueled investor excited. Alibaba will power the AI efforts of Apple iPhones in China.
Alibaba stock broke out of a cup-with-handle base on Feb. 7, surging to a three-year high of 145.30 on Feb. 21 form a January low of 80.06. BABA stock has consolidated since then. While still some time from a new base, investors could use 145.30 as a place to enter or add shares.
JD.com Stock
JD.com is a huge e-commerce firm, second only to Alibaba in China.
Q4 earnings leapt 36% while revenue grew 10% to $47.5 billion, with gains slightly higher than in Q3.
JD.com skyrocketed from late September to early October amid government stimulus hopes. But as those hopes waned, JD's shares fell back toward the 200-day line. JD.com broke out of a cup-with-handle base around earnings, but quickly fell back.
Shares are back above the 43.63 buy point, though investors could view 46.45 as the active handle entry now.
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Atour Lifestyle Stock
Atour Lifestyle owns and manages a hotel chain in China. As of Sept. 30, there were 1,533 hotels across Atour's hotel network. The company says it's the largest upper-midscale hotel chain in China in terms of rooms.
Chinese travel roared back in 2023 as Covid restrictions were lifted.
Atour earnings for Q3 rose 47% with revenue up 53%.
Q4 results are due in late March.
Shares of China stock Atour nearly doubled from early August to a 52-week high of 29.15 on Oct. 7. Shares largely held those gains since then.
Atour stock cleared a 28.82 early point on Feb. 11 from a handle that was fractionally too low to be proper. Shares cleared the traditional 29.90 buy point Feb. 14, marking a record high of 33.31 a few days later. Since then, ATAT stock has traded around the buy zone, closing in buy range on March 14. Atour could be working on a new consolidation now.
Please follow Ed Carson on X/Twitter at @IBD_ECarson and Threads at @edcarson1971 for stock market updates and more.
