Alibaba Group (NYSE:BABA – Get Free Report) had its target price cut by JPMorgan Chase & Co. from $210.00 to $200.00 in a research note issued to investors on Monday, Benzinga reports. The brokerage presently has an “overweight” rating on the specialty retailer’s stock. JPMorgan Chase & Co.‘s price objective indicates a potential upside of 80.23% from the company’s current price.
Other analysts have also recently issued research reports about the stock. Citigroup lifted their price objective on shares of Alibaba Group from $190.00 to $193.00 and gave the stock a “buy” rating in a research note on Thursday, October 8th. Piper Sandler downgraded shares of Alibaba Group to a “hold” rating in a report on Thursday, October 8th. Weiss Ratings upgraded shares of Alibaba Group from a “hold (c-)” rating to a “hold (c)” rating in a research report on Friday, October 2nd. Benchmark reaffirmed a “buy” rating on shares of Alibaba Group in a report on Thursday, August 20th. Finally, Sanford C. Bernstein reaffirmed an “outperform” rating and set a $165.00 target price on shares of Alibaba Group in a report on Monday, September 7th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $182.89.
Check Out Our Latest Research Report on Alibaba Group
Alibaba Group Stock Performance
Alibaba Group (NYSE:BABA – Get Free Report) last issued its quarterly earnings data on Friday, August 14th. The specialty retailer reported $1.26 EPS for the quarter, missing analysts’ consensus estimates of $1.94 by ($0.68). Alibaba Group had a net margin of 7.00% and a return on equity of 4.79%. The firm had revenue of $39.64 billion during the quarter, compared to analyst estimates of $39.52 billion. During the same period in the prior year, the company earned $14.75 earnings per share. The business’s quarterly revenue was up 8.6% compared to the same quarter last year. Research analysts expect that Alibaba Group will post 5.89 EPS for the current year.
Insider Activity at Alibaba Group
In related news, Director Joseph C. Tsai purchased 720,000 shares of the company’s stock in a transaction that occurred on Monday, August 24th. The stock was acquired at an average price of $14.29 per share, with a total value of $10,288,800.00. Following the completion of the purchase, the director directly owned 114,979,168 shares in the company, valued at $1,643,052,310.72. This trade represents a 0.63% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Fang Jiang sold 885,272 shares of the business’s stock in a transaction dated Wednesday, September 30th. The shares were sold at an average price of $13.55, for a total value of $11,995,435.60. Following the completion of the transaction, the insider directly owned 4,679,097 shares of the company’s stock, valued at approximately $63,401,764.35. This trade represents a 15.91% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 999,971 shares of company stock worth $13,563,304 in the last quarter. 12.50% of the stock is currently owned by corporate insiders.
Institutional Investors Weigh In On Alibaba Group
A number of large investors have recently bought and sold shares of the company. AMF Tjanstepension AB raised its position in shares of Alibaba Group by 4.1% in the 1st quarter. AMF Tjanstepension AB now owns 2,206,634 shares of the specialty retailer’s stock valued at $276,844,000 after buying an additional 86,613 shares in the last quarter. Altshuler Shaham Ltd acquired a new stake in shares of Alibaba Group during the 4th quarter worth approximately $160,410,000. Bamco Inc. NY boosted its position in shares of Alibaba Group by 6.8% during the 4th quarter. Bamco Inc. NY now owns 1,071,647 shares of the specialty retailer’s stock worth $157,082,000 after acquiring an additional 67,948 shares in the last quarter. Bbfit Investments PTE Ltd. acquired a new stake in shares of Alibaba Group during the 4th quarter worth approximately $106,828,000. Finally, Thornburg Investment Management Inc. increased its stake in Alibaba Group by 5.5% in the fourth quarter. Thornburg Investment Management Inc. now owns 584,028 shares of the specialty retailer’s stock valued at $85,607,000 after acquiring an additional 30,644 shares during the last quarter. 13.47% of the stock is currently owned by institutional investors and hedge funds.
More Alibaba Group News
Here are the key news stories impacting Alibaba Group this week:
- Positive Sentiment: Alibaba unveiled a new generation of AI-enabled smart glasses priced at about $450. The product expands the company’s push into consumer electronics and could help translate its AI capabilities into new revenue streams, although commercial demand remains unproven. Alibaba Unveils $450 AI Glasses in Expanding Push Into Gadgets
- Positive Sentiment: Erste Group Bank slightly raised its FY2028 EPS forecast for Alibaba to $8.42 from $8.41. While the increase is modest, it indicates that at least one analyst sees long-term earnings expectations holding up. Erste Group Bank estimate update
- Neutral Sentiment: JPMorgan lowered its price target to $200 from $210 but maintained an “overweight” rating. The reduced target reflects more cautious assumptions, while the rating and substantial implied upside remain supportive for the investment case. JPMorgan price target update
- Neutral Sentiment: Alibaba’s AI capital-spending program is viewed as both a potential growth catalyst and a risk. Expanded cloud infrastructure could accelerate AI revenue, but heavy near-term spending and cash outflows raise questions about the company’s targeted three-year payback period. Alibaba’s AI Capex Push: Catalyst or Risk
- Negative Sentiment: Alibaba registered 100 million shares for its 2024 equity-incentive plan. The program may help retain talent, particularly in AI, but the additional share authorization creates potential dilution for existing shareholders. Alibaba Registers 100 Million Shares for 2024 Equity Incentive Plan
Alibaba Group Company Profile
Alibaba Group Holding Limited is a technology and commerce company founded in 1999 and headquartered in Hangzhou, China. It operates a broad digital ecosystem connecting consumers, merchants, brands and businesses through online marketplaces and related services.
The company’s China commerce businesses include Taobao and Tmall, while its international commerce operations include Alibaba.com, AliExpress, Lazada and Trendyol. Alibaba also provides logistics services through Cainiao, consumer services through platforms such as Ele.me and Freshippo, and digital media and entertainment offerings.
Alibaba Cloud provides cloud computing, data management, artificial intelligence and other technology services to businesses and organizations.
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