Alibaba Group (NYSE:BABA) Trading Down 1% - Should You Sell?

Key Points

• Alibaba Group's shares fell 1%, trading between $117.60 and $120.98, with a significant drop in volume to 6.3 million shares, 69% less than the average.
• Analysts have mixed ratings on Alibaba, with a consensus target price of $159.67, and notable downgrades from several brokerages impacting investor sentiment.
• Institutional investors have been active, with American Century Companies increasing their stake by 52.1% in the first quarter, reflecting continued interest in Alibaba despite the recent stock decline.

Shares of Alibaba Group Holding Limited (NYSE:BABA - Get Free Report) fell 1% during mid-day trading on Thursday . The stock traded as low as $117.60 and last traded at $120.98. 6,335,740 shares traded hands during trading, a decline of 69% from the average session volume of 20,741,342 shares. The stock had previously closed at $122.23.

Analyst Ratings Changes

Several brokerages recently weighed in on BABA. Loop Capital set a $176.00 price target on Alibaba Group in a research note on Friday, May 16th. Arete downgraded Alibaba Group from a "buy" rating to a "neutral" rating and set a $153.00 target price for the company. in a research note on Tuesday, June 24th. Morgan Stanley set a $180.00 target price on Alibaba Group in a research report on Wednesday, May 14th. Wall Street Zen cut shares of Alibaba Group from a "buy" rating to a "hold" rating in a research note on Friday, June 27th. Finally, Mizuho reduced their price objective on shares of Alibaba Group from $170.00 to $160.00 and set an "outperform" rating for the company in a research report on Friday, May 16th. Eleven equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $159.67.

Alibaba Group Stock Down 1.8%

The stock has a market capitalization of $286.15 billion, a price-to-earnings ratio of 16.10, a price-to-earnings-growth ratio of 1.83 and a beta of 0.17. The business's 50-day moving average is $116.94 and its two-hundred day moving average is $121.48. The company has a quick ratio of 1.55, a current ratio of 1.55 and a debt-to-equity ratio of 0.19.

Institutional Investors Weigh In On Alibaba Group

A number of large investors have recently made changes to their positions in the stock. American Century Companies Inc. lifted its position in Alibaba Group by 52.1% during the first quarter. American Century Companies Inc. now owns 2,293,085 shares of the specialty retailer's stock worth $303,215,000 after buying an additional 785,494 shares in the last quarter. WCM Investment Management LLC acquired a new position in shares of Alibaba Group during the 1st quarter valued at about $4,074,000. KMG Fiduciary Partners LLC acquired a new position in shares of Alibaba Group during the 1st quarter valued at about $1,948,000. Avaii Wealth Management LLC purchased a new stake in shares of Alibaba Group in the first quarter valued at about $563,000. Finally, Fiduciary Alliance LLC increased its position in Alibaba Group by 18.3% during the first quarter. Fiduciary Alliance LLC now owns 117,943 shares of the specialty retailer's stock worth $15,596,000 after purchasing an additional 18,230 shares during the last quarter. 13.47% of the stock is currently owned by hedge funds and other institutional investors.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.