Picks

Pick 1 : Alibaba Group Holding Limited - BABA

Alibaba continues to present one of the most compelling risk-reward profiles in global equities. Once trading above $300 per share, the stock has spent the past few years correcting, largely due to regulatory crackdowns and geopolitical friction. However, over the past 18 months, BABA's valuation has remained notably stable — a rare trait in Chinese tech — and it now holds one of the highest valuations among Chinese stocks based on forward-looking fundamentals.

What’s particularly telling is Alibaba’s relative strength during recent volatility. Even amid the global tariff crisis, the stock saw only modest declines compared to broader emerging markets, reflecting persistent investor confidence and strong institutional backing.

The real question with BABA is not if, but when. With U.S.–China relations showing signs of stabilization, including extended tariff pauses and improving diplomatic tone, we believe the conditions are aligning for a re-rating. Investors looking for undervalued large-cap growth exposure with international upside should keep BABA firmly on their radar.

Pick 2 : JD.com, Inc. - JD

JD.com stands alongside Alibaba as one of the most compelling plays in China’s undervalued equity market. While smaller in scale, JD trades at highly attractive levels relative to its all-time highs and maintains a dominant presence in e-commerce and logistics — two pillars of China’s consumer economy.

Like Alibaba, JD has shown resilience through regulatory challenges and geopolitical headwinds. Its valuation has held steady over the past year, supported by improving fundamentals and growing investor confidence. JD’s vertically integrated model allows for strong operational efficiency, giving it solid footing for future margin expansion and long-term growth.

We view JD as offering similar forward-looking potential to Alibaba, driven by structural strength, domestic leadership, and exposure to the broader recovery in Chinese equities. As global relations stabilize and capital begins flowing back into the region, JD is well-positioned to benefit from both renewed sentiment and long-term fundamental upside.

Pick 3 : Merck & Co., Inc. - MRK

Merck has long been a pillar of stability in the pharmaceutical space, consistently trading in the $90–$100 range over the past five years and even reaching highs near $130 in recent years. Even at those levels, the stock appeared fairly valued — if not slightly undervalued — given Merck’s strong fundamentals and reliable cash flow.

Today, however, MRK trades below $80, a level that historically represents a deep discount. The current weakness stems largely from short-term volatility tied to the looming threat of pharmaceutical tariffs, which has weighed on investor sentiment across the sector. But once that overhang lifts — whether through regulatory clarity or easing trade tensions — Merck stands to benefit significantly.

Merck’s pipeline remains robust, its financial health is solid, and its role as a defensive healthcare leader is intact. This is a stock that doesn’t often deliver quick surges, but tends to reward patient investors over time. The real question is not whether it will recover, but when sentiment will catch up with the company’s underlying strength. At current levels, MRK offers compelling long-term upside with limited downside risk.

Pick 4 (Short-Term) : iShares Ethereum ETF - ETHA

With markets running hot and many U.S. equities reaching extended valuations, a short-term correction appears increasingly likely. To stay positioned for potential outperformance during this phase, we’re turning to the iShares Ethereum Trust (ETHA).

While Bitcoin has continued to lead the crypto conversation, Ethereum is starting to quietly gain ground. Despite historically moving in close correlation, Ethereum has underperformed Bitcoin this year — but that gap may be closing. Recent ETF inflows suggest renewed institutional interest in ETH, with confidence steadily returning.

Currently trading around the $2,500 level, Ethereum sits at a historically attractive price point. It remains the backbone of decentralized finance, smart contracts, and tokenized assets — and as real-world adoption of these systems expands, Ethereum is well-positioned to benefit. Its fundamentals remain strong, and its utility continues to grow across multiple sectors of the digital economy.

ETHA offers investors clean exposure to Ethereum without the complexity of wallets or direct crypto holding. As capital rotates out of overstretched U.S. stocks, ETHA provides a unique alternative with meaningful upside. In our view, Ethereum has the potential to outperform the S&P 500 over the coming months as sentiment shifts and investor interest builds.