Alibaba Group (NYSE:BABA) Stock Price Up 2.3% - Should You Buy?

Key Points

• Alibaba Group's shares rose by 2.3% on Wednesday, trading at a high of $167.32 and closing at $165.98, with volume up 35% from average levels.
• Multiple research firms have recently lifted their target prices for Alibaba, with Bank of America raising it to $152.00 and Citigroup to $187.00, while the consensus rating for the stock remains at "Buy".
• Institutional investors have actively increased their stakes in Alibaba, with several firms, including North Ridge Wealth Advisors, acquiring new positions valued at approximately $26,000 each during the first quarter of the year.

Shares of Alibaba Group Holding Limited (NYSE:BABA - Get Free Report) were up 2.3% during trading on Wednesday . The stock traded as high as $167.32 and last traded at $165.98. Approximately 29,025,710 shares traded hands during mid-day trading, an increase of 35% from the average daily volume of 21,570,049 shares. The stock had previously closed at $162.21.

Analyst Upgrades and Downgrades

Several analysts recently commented on BABA shares. Arete Research raised Alibaba Group from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, September 3rd. Sanford C. Bernstein reiterated an "outperform" rating and issued a $160.00 price objective on shares of Alibaba Group in a research report on Saturday, August 30th. Arete upgraded Alibaba Group from a "neutral" rating to a "buy" rating and set a $152.00 price objective for the company in a research report on Wednesday, September 3rd. Wall Street Zen downgraded Alibaba Group from a "buy" rating to a "hold" rating in a research report on Friday, June 27th. Finally, Benchmark lifted their price objective on Alibaba Group from $176.00 to $195.00 and gave the company a "buy" rating in a research report on Tuesday, September 2nd. One research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Buy" and a consensus target price of $168.81.

Alibaba Group Trading Up 0.2%

The company has a debt-to-equity ratio of 0.19, a current ratio of 1.45 and a quick ratio of 1.45. The business has a 50 day moving average of $128.92 and a 200 day moving average of $123.49. The firm has a market capitalization of $388.08 billion, a price-to-earnings ratio of 18.93, a PEG ratio of 2.00 and a beta of 0.11.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in BABA. Brighton Jones LLC grew its stake in Alibaba Group by 40.4% in the fourth quarter. Brighton Jones LLC now owns 3,411 shares of the specialty retailer's stock valued at $289,000 after acquiring an additional 981 shares during the period. Vident Advisory LLC grew its stake in Alibaba Group by 10.3% in the fourth quarter. Vident Advisory LLC now owns 21,058 shares of the specialty retailer's stock valued at $1,786,000 after acquiring an additional 1,971 shares during the period. Waverly Advisors LLC grew its stake in Alibaba Group by 184.6% in the fourth quarter. Waverly Advisors LLC now owns 22,299 shares of the specialty retailer's stock valued at $1,891,000 after acquiring an additional 14,464 shares during the period. JT Stratford LLC grew its stake in Alibaba Group by 7.8% in the fourth quarter. JT Stratford LLC now owns 6,838 shares of the specialty retailer's stock valued at $580,000 after acquiring an additional 496 shares during the period. Finally, Vise Technologies Inc. grew its stake in Alibaba Group by 811.6% in the fourth quarter. Vise Technologies Inc. now owns 25,644 shares of the specialty retailer's stock valued at $2,174,000 after acquiring an additional 22,831 shares during the period. 13.47% of the stock is owned by institutional investors and hedge funds.

About Alibaba Group

Alibaba Group Holding Limited, through its subsidiaries, provides technology infrastructure and marketing reach to help merchants, brands, retailers, and other businesses to engage with their users and customers in the People's Republic of China and internationally. The company operates through seven segments: China Commerce, International Commerce, Local Consumer Services, Cainiao, Cloud, Digital Media and Entertainment, and Innovation Initiatives and Others.