For some people Chinese retailer Alibaba’s record breaking IPO last week was a sign that the market is frothy, if not in a bubble right now.
Others, like legendary investor Julian Robertson, think it’s one of the few real deals out there.
At Monday’s Bloomberg Markets Most Influential Conference, he said that Alibaba is a “fabulous company.”
“If Alibaba and some of the other things do as well as they are projected to do, then they are probably reasonable valued. Look, we are always looking for bargains…that’s sort of the way it goes in our business,” he said.
This is a far cry from Robertson’s stance on investing in China five years ago, when he said he simply didn’t understand it.
Alibaba crushed its IPO, gaining 38% on its first day of trading. The company has its critics though. They say that Alibaba shareholders have almost no rights, and are sceptical of accounting issues at companies that Alibaba has acquired.