Alibaba Group (NYSE:BABA) Trading Up 3.2% - Here's What Happened

Key Points

• Alibaba shares rose 3.2% to $132.50 in Monday trading, with approximately 9.25 million shares changing hands.
• Analysts remain broadly bullish, with a consensus “Moderate Buy” rating and an average price target of $186.90; JPMorgan, Morgan Stanley, and Susquehanna recently raised their targets.
• Alibaba reported quarterly revenue of $35.30 billion and EPS of $0.01, while declaring a $1.05 annual dividend. Insiders sold roughly 920,000 shares worth $70.8 million during the past quarter.

Alibaba Group Holding Limited (NYSE:BABA - Get Free Report)'s stock price was up 3.2% during trading on Monday . The stock traded as high as $132.57 and last traded at $132.50. 9,245,596 shares traded hands during trading, a decline of 23% from the average session volume of 11,961,699 shares. The stock had previously closed at $128.41.

Analysts Set New Price Targets

BABA has been the topic of several research reports. Weiss Ratings reissued a "hold (c+)" rating on shares of Alibaba Group in a research report on Wednesday, May 27th. HSBC set a $170.00 target price on shares of Alibaba Group in a research report on Thursday, July 9th. Morgan Stanley raised their price objective on Alibaba Group from $180.00 to $190.00 and gave the stock an "overweight" rating in a research note on Thursday, May 14th. Susquehanna lifted their target price on Alibaba Group from $170.00 to $185.00 and gave the company a "positive" rating in a research note on Friday, May 15th. Finally, JPMorgan Chase & Co. increased their target price on Alibaba Group from $200.00 to $205.00 and gave the stock an "overweight" rating in a research report on Thursday, May 14th. Two equities research analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $186.90.

Alibaba Group Stock Performance

The stock has a market cap of $317.61 billion, a price-to-earnings ratio of 21.76, a PEG ratio of 2.36 and a beta of 0.49. The company's 50 day simple moving average is $112.88 and its 200 day simple moving average is $131.21. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.28 and a current ratio of 1.28.

Alibaba Group (NYSE:BABA - Get Free Report) last issued its quarterly earnings results on Tuesday, March 31st. The specialty retailer reported $0.01 earnings per share (EPS) for the quarter. The company had revenue of $35.30 billion for the quarter. Alibaba Group had a return on equity of 4.76% and a net margin of 10.31%. On average, equities research analysts anticipate that Alibaba Group Holding Limited will post 6.31 earnings per share for the current year.

Alibaba Group Announces Dividend

The firm also recently disclosed an annual dividend, which was paid on Monday, July 13th. Investors of record on Thursday, June 11th were given a dividend of $1.05 per share. This represents a yield of 93.0%. The ex-dividend date of this dividend was Thursday, June 11th. Alibaba Group's dividend payout ratio (DPR) is presently 16.91%.

Insider Activity at Alibaba Group

In related news, CEO Fan (Fj) Jiang sold 13,579 shares of the business's stock in a transaction that occurred on Thursday, June 25th. The stock was sold at an average price of $12.10, for a total value of $164,305.90. Following the completion of the sale, the chief executive officer directly owned 556,617 shares in the company, valued at approximately $6,735,065.70. The trade was a 2.38% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, President J. Michael Evans sold 720,000 shares of the company's stock in a transaction that occurred on Monday, June 29th. The stock was sold at an average price of $94.95, for a total value of $68,364,000.00. Following the sale, the president directly owned 28,000 shares of the company's stock, valued at $2,658,600. The trade was a 96.26% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 920,303 shares of company stock valued at $70,796,370. Insiders own 12.50% of the company's stock.

Institutional Trading of Alibaba Group

Institutional investors and hedge funds have recently modified their holdings of the company. Serenity Capital Management PTE. LTD. acquired a new position in Alibaba Group in the 2nd quarter valued at $6,718,600,000. Hudson Value Partners LLC lifted its position in Alibaba Group by 24.3% during the 2nd quarter. Hudson Value Partners LLC now owns 29,344 shares of the specialty retailer's stock worth $2,816,000 after acquiring an additional 5,731 shares during the last quarter. KMG Fiduciary Partners LLC boosted its holdings in Alibaba Group by 6.8% during the second quarter. KMG Fiduciary Partners LLC now owns 13,107 shares of the specialty retailer's stock valued at $1,258,000 after acquiring an additional 831 shares during the period. Steadtrust LLC grew its position in shares of Alibaba Group by 13.2% in the second quarter. Steadtrust LLC now owns 5,832 shares of the specialty retailer's stock valued at $560,000 after purchasing an additional 680 shares during the last quarter. Finally, Allied Private Wealth LLC acquired a new stake in shares of Alibaba Group in the second quarter valued at about $115,000. 13.47% of the stock is currently owned by institutional investors and hedge funds.

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.

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