Alibaba Stock Could Double Over Its Split Plan. Even More Reason to Like It.

Alibaba

plan to split itself up into six parts has been cheered by investors who see it as a pathway to unlocking value in the Chinese tech giant, whose stock has been battered in the past two years amid a wave of regulatory pressures.

Alibaba (ticker: BABA) stock jumped 14.3% on Tuesday, its best day in many months, after the group said it would split into six units and open the door to these subsidiaries going public on their own. Set to open around $98, the stock is on a tear—though far below its peak above $300 notched in late 2020. That might change.