Alibaba Group (NYSE:BABA) Price Target Raised to $190.00 at Morgan Stanley

Key Points

• Morgan Stanley raised its price target on Alibaba from $180 to $190 and kept an overweight rating, implying about 40% upside from the prior close.
• Other analysts also turned more positive, with Mizuho lifting its target to $195 and Nomura raising its target to $207, while the broader consensus remains a Moderate Buy with an average target of $188.05.
• Alibaba’s stock was trading at $135.64, below its recent high of $192.67, as investors continue to weigh valuation against the company’s ongoing earnings and growth outlook.

Alibaba Group (NYSE:BABA - Get Free Report) had its price objective hoisted by investment analysts at Morgan Stanley from $180.00 to $190.00 in a research report issued on Thursday,MarketScreener reports. The firm currently has an "overweight" rating on the specialty retailer's stock. Morgan Stanley's target price points to a potential upside of 40.07% from the company's previous close.

Other equities analysts also recently issued research reports about the stock. Mizuho raised their target price on shares of Alibaba Group from $190.00 to $195.00 and gave the company an "outperform" rating in a research note on Thursday. Robert W. Baird cut their price objective on Alibaba Group from $174.00 to $164.00 and set an "outperform" rating on the stock in a research report on Friday, March 20th. DZ Bank cut Alibaba Group from a "buy" rating to a "hold" rating and set a $135.00 price objective on the stock. in a research note on Friday, March 20th. BNP Paribas Exane started coverage on Alibaba Group in a research report on Wednesday, April 29th. They issued an "outperform" rating and a $209.00 target price for the company. Finally, Nomura increased their target price on Alibaba Group from $200.00 to $207.00 and gave the company a "buy" rating in a research note on Friday. Two analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, four have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $188.05.

Alibaba Group Stock Performance

NYSE BABA opened at $135.64 on Thursday. The company has a debt-to-equity ratio of 0.22, a current ratio of 1.33 and a quick ratio of 1.33. Alibaba Group has a 1-year low of $103.71 and a 1-year high of $192.67. The firm has a market capitalization of $325.41 billion, a P/E ratio of 22.27, a P/E/G ratio of 2.52 and a beta of 0.50. The business's 50-day simple moving average is $131.65 and its 200-day simple moving average is $149.49.

Alibaba Group (NYSE:BABA - Get Free Report) last posted its quarterly earnings results on Tuesday, March 31st. The specialty retailer reported $0.01 EPS for the quarter. The firm had revenue of $35.30 billion for the quarter. Alibaba Group had a net margin of 10.31% and a return on equity of 4.82%. Equities analysts predict that Alibaba Group will post 6.7 EPS for the current year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of BABA. Capital World Investors grew its stake in Alibaba Group by 7.7% during the 4th quarter. Capital World Investors now owns 6,505,165 shares of the specialty retailer's stock valued at $953,527,000 after purchasing an additional 466,847 shares in the last quarter. Northwestern Mutual Wealth Management Co. boosted its stake in shares of Alibaba Group by 7,680.3% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 6,014,147 shares of the specialty retailer's stock valued at $881,554,000 after buying an additional 5,936,847 shares during the last quarter. Fisher Asset Management LLC boosted its stake in shares of Alibaba Group by 0.8% during the 4th quarter. Fisher Asset Management LLC now owns 5,335,894 shares of the specialty retailer's stock valued at $782,135,000 after buying an additional 42,297 shares during the last quarter. Norges Bank acquired a new stake in shares of Alibaba Group during the fourth quarter worth approximately $594,477,000. Finally, American Century Companies Inc. increased its stake in shares of Alibaba Group by 17.7% in the third quarter. American Century Companies Inc. now owns 2,987,539 shares of the specialty retailer's stock worth $533,964,000 after buying an additional 448,484 shares during the last quarter. Institutional investors and hedge funds own 13.47% of the company's stock.

Trending Headlines about Alibaba Group

Here are the key news stories impacting Alibaba Group this week:

• Positive Sentiment: Wall Street sentiment improved as multiple firms raised price targets, including HSBC to $180 and Mizuho to $195, reinforcing confidence in Alibaba’s AI and cloud growth outlook. Alibaba Group NYSE: BABA Price Target Raised to $180.00 at HSBC
• Positive Sentiment: Alibaba reported strong AI and cloud momentum, with Cloud Intelligence revenue accelerating and AI revenue posting triple-digit growth for another quarter, suggesting the company’s pivot toward enterprise AI is gaining traction. China’s Alibaba reports 38% jump in AI and cloud revenue as it races to grow
• Positive Sentiment: Reports that U.S. regulators approved Nvidia H200 chip sales to several Chinese firms, including Alibaba, could support Alibaba’s AI infrastructure buildout if purchases move forward. US clears sales of Nvidia's H200 chip to 10 China firms
• Neutral Sentiment: Alibaba announced an annual dividend, which may be viewed as a shareholder-friendly move, but the yield details appear unusually high and the announcement is less important than the AI growth narrative driving the stock. Alibaba Group Price Performance
• Negative Sentiment: The earnings report also highlighted that profits are under pressure from elevated AI and cloud spending, and some coverage noted revenue still missed estimates, reminding investors that near-term earnings may stay volatile while Alibaba invests for growth. Alibaba Q4 Earnings Fall Short of Estimates, Revenues Rise Y/Y

Alibaba Group Company Profile

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.

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