Alibaba Group (NYSE:BABA) Price Target Raised to $205.00 at JPMorgan Chase & Co.

Key Points

• JPMorgan Chase & Co. raised its price target on Alibaba Group from $200 to $205 and kept an overweight rating, implying about 43.5% upside from the prior close.
• Other analysts remain generally constructive, though targets vary: several firms recently adjusted their outlooks, and the current consensus rating is Moderate Buy with a consensus price target of $189.45.
• Alibaba shares closed at $142.87 on Thursday, and the company’s latest quarter showed $35.3 billion in revenue but only $0.01 EPS, highlighting pressure on profitability even as analysts expect 4.32 EPS for the full year.

Alibaba Group (NYSE:BABA - Get Free Report) had its price target lifted by equities researchers at JPMorgan Chase & Co. from $200.00 to $205.00 in a report issued on Thursday,Benzinga reports. The brokerage currently has an "overweight" rating on the specialty retailer's stock. JPMorgan Chase & Co.'s target price would indicate a potential upside of 43.49% from the stock's previous close.

Several other brokerages have also weighed in on BABA. Jefferies Financial Group cut their target price on Alibaba Group from $225.00 to $212.00 and set a "buy" rating on the stock in a research report on Thursday, March 19th. BNP Paribas Exane initiated coverage on Alibaba Group in a research note on Wednesday, April 29th. They issued an "outperform" rating and a $209.00 price target for the company. Erste Group Bank downgraded Alibaba Group from a "buy" rating to a "hold" rating in a research note on Wednesday, February 18th. Susquehanna dropped their target price on Alibaba Group from $190.00 to $170.00 and set a "positive" rating on the stock in a report on Thursday, March 26th. Finally, DZ Bank cut Alibaba Group from a "buy" rating to a "hold" rating and set a $135.00 target price on the stock. in a report on Friday, March 20th. Two equities research analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Alibaba Group presently has a consensus rating of "Moderate Buy" and a consensus price target of $189.45.

Alibaba Group Price Performance

Shares of BABA traded down $2.94 on Thursday, reaching $142.87. The stock had a trading volume of 11,773,057 shares, compared to its average volume of 11,883,624. Alibaba Group has a twelve month low of $103.71 and a twelve month high of $192.67. The company has a quick ratio of 1.33, a current ratio of 1.33 and a debt-to-equity ratio of 0.22. The firm has a 50-day moving average of $131.54 and a 200 day moving average of $149.73. The firm has a market capitalization of $342.75 billion, a PE ratio of 26.89, a PEG ratio of 2.33 and a beta of 0.50.

Alibaba Group (NYSE:BABA - Get Free Report) last posted its earnings results on Tuesday, March 31st. The specialty retailer reported $0.01 earnings per share (EPS) for the quarter. Alibaba Group had a return on equity of 7.43% and a net margin of 9.12%.The firm had revenue of $35.30 billion for the quarter. Sell-side analysts expect that Alibaba Group will post 4.32 EPS for the current year.

Institutional Trading of Alibaba Group

Several large investors have recently added to or reduced their stakes in BABA. Northwestern Mutual Wealth Management Co. raised its stake in 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 purchasing an additional 5,936,847 shares during the period. Capital World Investors raised its stake in Alibaba Group by 1,074.9% during 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 acquired a new stake in Alibaba Group during the 4th quarter valued at $594,477,000. Artisan Partners Limited Partnership acquired a new stake in Alibaba Group during the 3rd quarter valued at $290,208,000. Finally, Trivest Advisors Ltd acquired a new stake in Alibaba Group during the 3rd quarter valued at $202,126,000. 13.47% of the stock is owned by institutional investors and hedge funds.

Alibaba Group News Roundup

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

• Positive Sentiment: Alibaba highlighted strong momentum in cloud and AI, with Cloud Intelligence revenue rising sharply and external customer growth accelerating, suggesting the company’s AI strategy is gaining traction. Reuters: Alibaba quarterly revenue rises 3%, missing estimates
• Positive Sentiment: Mizuho raised its price target on BABA and reiterated an outperform rating, signaling continued analyst confidence despite the earnings miss. Benzinga price target update
• Neutral Sentiment: Management said AI-related revenue is becoming a larger part of the business and that the company may spend more than planned on AI, reinforcing a long-term investment theme rather than an immediate profit story. PYMNTS: Alibaba sacrifices profits to fuel AI growth
• Negative Sentiment: Headline earnings fell well short of estimates, and profitability came under pressure as Alibaba ramped spending across AI, cloud, and commerce, raising concerns about near-term margin compression. Zacks: Alibaba Q4 Earnings Fall Short of Estimates, Revenues Rise Y/Y
• Negative Sentiment: Several reports noted that investors were disappointed by the lack of a clearer near-term AI payoff, with heavy spending continuing to outweigh the benefits of revenue growth. WSJ: Alibaba's Quarterly Profitability Still Under Pressure

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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