Alibaba Group (NYSE:BABA) Downgraded by Zacks Research to "Strong Sell"

Key Points

• Zacks Research downgraded Alibaba to a "Strong Sell" from "Hold," adding to a string of recent downgrades even as the 22‑analyst consensus remains a Moderate Buy with an average price target of $187.68.
• Shares opened at $131.65 (down ~3.5%), with a market cap of $314.88B, P/E of 24.84, 50‑day/200‑day SMAs at $135.36/$152.88, and a 52‑week range of $103.71–$192.67, highlighting near‑term weakness versus longer‑term levels.
• Despite mixed analyst views, large institutions have been buying heavily—Northwestern Mutual and Capital World Investors each added roughly 6 million shares and Norges Bank initiated a ~$594M stake—indicating substantial institutional inflows.

Alibaba Group (NYSE:BABA - Get Free Report) was downgraded by analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

BABA has been the topic of a number of other research reports. Barclays lowered their price objective on Alibaba Group from $190.00 to $186.00 and set an "overweight" rating on the stock in a report on Tuesday, April 14th. Loop Capital set a $140.00 target price on Alibaba Group in a research report on Tuesday, January 6th. Freedom Capital downgraded Alibaba Group from a "strong-buy" rating to a "hold" rating in a report on Tuesday, January 6th. Erste Group Bank lowered shares of Alibaba Group from a "buy" rating to a "hold" rating in a research report on Wednesday, February 18th. Finally, DZ Bank downgraded shares of Alibaba Group from a "buy" rating to a "hold" rating and set a $135.00 price objective for the company. in a report on Friday, March 20th. Sixteen equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $187.68.

Alibaba Group Trading Down 3.5%

Shares of NYSE BABA opened at $131.65 on Wednesday. The company has a debt-to-equity ratio of 0.22, a quick ratio of 1.33 and a current ratio of 1.33. The stock has a market cap of $314.88 billion, a price-to-earnings ratio of 24.84, a PEG ratio of 2.45 and a beta of 0.50. The business has a 50 day simple moving average of $135.36 and a 200 day simple moving average of $152.88. Alibaba Group has a 52 week low of $103.71 and a 52 week high of $192.67.

Alibaba Group (NYSE:BABA - Get Free Report) last announced its quarterly earnings results on Saturday, February 14th. The specialty retailer reported $0.13 EPS for the quarter. Alibaba Group had a net margin of 9.12% and a return on equity of 7.43%. The company had revenue of $40.71 billion for the quarter. On average, research analysts predict that Alibaba Group will post 4.39 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of BABA. Northwestern Mutual Wealth Management Co. increased its position in Alibaba Group by 7,680.3% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 6,014,147 shares of the specialty retailer's stock worth $881,554,000 after acquiring an additional 5,936,847 shares during the period. Capital World Investors boosted its holdings in Alibaba Group by 1,074.9% in the 3rd quarter. Capital World Investors now owns 6,038,318 shares of the specialty retailer's stock valued at $1,079,229,000 after purchasing an additional 5,524,354 shares during the period. Norges Bank bought a new stake in Alibaba Group in the 4th quarter valued at $594,477,000. Artisan Partners Limited Partnership acquired a new stake in Alibaba Group in the 3rd quarter worth $290,208,000. Finally, Trivest Advisors Ltd acquired a new stake in Alibaba Group in the 3rd quarter worth $202,126,000. 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 has opened its Qwen AI to China Eastern, enabling natural‑language flight search, booking and management — a clear step toward monetizing Qwen via airline and travel integrations that could drive enterprise revenue. Alibaba Opens Qwen AI To China Eastern, Enabling Flight Booking Via Chat
• Positive Sentiment: Alibaba Cloud’s collaboration with 0G to make Qwen models accessible on‑chain opens new distribution channels to autonomous AI agents and Web3 developers — a strategic infrastructure move that may expand model usage and developer engagement. 0G to Make Alibaba's Qwen wModels Accessible to AI Agents via Blockchain Integration
• Positive Sentiment: Reports that Alibaba is in talks with Tencent to invest in AI startup DeepSeek (valuation >$20B) signal a potential strategic bet to secure cutting‑edge AI capabilities and partnerships that could bolster Alibaba’s long‑term AI roadmap. Tencent, Alibaba in talks to invest in DeepSeek, The Information reports
• Neutral Sentiment: Alibaba.com’s leadership is highlighting AI tools for small businesses — an encouraging messaging point for merchant adoption but with unclear near‑term revenue impact. Alibaba.com president: How small businesses win online
• Neutral Sentiment: Industry reports reaffirm Alibaba’s strong position in China’s social commerce market, supporting long‑term growth thesis in integrated content+transaction commerce. China Social Commerce Market Report 2026
• Negative Sentiment: Tencent’s unveiling of an upgraded foundational model underscores intensifying AI competition in China — a near‑term headwind for investor sentiment as rivals vie for talent, partnerships and enterprise deals. Tencent Unveils AI Model in High‑Stakes Test for OpenAI Hire
• Negative Sentiment: Coverage notes regulators are closely watching platform firms and their data‑rich AI activities; that scrutiny could complicate large investments, partnerships or monetization efforts in the near term. Alibaba Weighs DeepSeek AI Stake As Social Commerce Role Expands

About Alibaba Group

Alibaba Group Holding Limited is a Chinese multinational conglomerate founded in 1999 in Hangzhou, China, by Jack Ma and a group of co‑founders. The company built its business around internet-based commerce and related services and has grown into one of the largest e-commerce and technology companies in the world. Alibaba completed a high‑profile initial public offering on the New York Stock Exchange in 2014.

The company operates a portfolio of online marketplaces and platforms serving different customer segments: Alibaba.com for global and domestic B2B trade, Taobao for consumer-to-consumer shopping, and Tmall for brand and retailer storefronts targeted at Chinese consumers.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.