Alibaba Group Holding Limited $BABA Stock Sold by Arnhold LLC

Key Points

• Arnhold LLC reduced its Alibaba stake by 2.6%, selling 6,000 shares and retaining 223,903 shares valued at approximately $24.1 million. Alibaba remains the firm’s 17th-largest holding.
• Other institutional investors increased their positions, while analysts maintained a generally positive outlook: Alibaba has a consensus “Moderate Buy” rating and an average price target of $182.89.
• Alibaba’s latest quarter showed 8.6% year-over-year revenue growth to $39.64 billion, but adjusted earnings of $1.26 per share missed consensus estimates of $1.94; insiders also sold nearly 1 million shares worth $13.6 million over 90 days.

Arnhold LLC cut its stake in shares of Alibaba Group Holding Limited (NYSE:BABA - Free Report) by 2.6% in the 3rd quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 223,903 shares of the specialty retailer's stock after selling 6,000 shares during the period. Alibaba Group accounts for approximately 1.7% of Arnhold LLC's holdings, making the stock its 17th biggest holding. Arnhold LLC's holdings in Alibaba Group were worth $24,079,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also made changes to their positions in the company. AMF Tjanstepension AB grew its stake in Alibaba Group by 4.1% during the first quarter. AMF Tjanstepension AB now owns 2,206,634 shares of the specialty retailer's stock worth $276,844,000 after buying an additional 86,613 shares during the period. Baird Financial Group Inc. lifted its stake in shares of Alibaba Group by 6.7% during the second quarter. Baird Financial Group Inc. now owns 754,749 shares of the specialty retailer's stock worth $72,441,000 after purchasing an additional 47,358 shares in the last quarter. Sei Investments Co. lifted its stake in shares of Alibaba Group by 63.5% during the first quarter. Sei Investments Co. now owns 573,409 shares of the specialty retailer's stock worth $71,940,000 after purchasing an additional 222,666 shares in the last quarter. Candriam S.C.A. lifted its stake in shares of Alibaba Group by 104.6% during the first quarter. Candriam S.C.A. now owns 564,818 shares of the specialty retailer's stock worth $70,862,000 after purchasing an additional 288,738 shares in the last quarter. Finally, Sumitomo Mitsui Trust Group Inc. boosted its position in shares of Alibaba Group by 19.3% in the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 534,794 shares of the specialty retailer's stock worth $67,095,000 after buying an additional 86,484 shares during the period. 13.47% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

BABA has been the subject of a number of recent research reports. Jefferies Financial Group reiterated a "buy" rating and issued a $192.00 target price on shares of Alibaba Group in a research note on Thursday, October 8th. JPMorgan Chase & Co. reduced their price target on Alibaba Group from $210.00 to $200.00 and set an "overweight" rating on the stock in a research report on Monday, October 12th. Susquehanna boosted their price target on Alibaba Group from $185.00 to $190.00 and gave the stock a "positive" rating in a research report on Friday, August 28th. Sanford C. Bernstein restated an "outperform" rating and issued a $165.00 price target on shares of Alibaba Group in a report on Monday, September 7th. Finally, Barclays increased their price objective on shares of Alibaba Group from $195.00 to $200.00 and gave the company an "overweight" rating in a research report on Friday, August 21st. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $182.89.

Insider Activity

In other Alibaba Group news, insider Fang Jiang sold 885,272 shares of the stock in a transaction on Wednesday, September 30th. The shares were sold at an average price of $13.55, for a total transaction of $11,995,435.60. Following the transaction, the insider directly owned 4,679,097 shares in the company, valued at $63,401,764.35. This represents a 15.91% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Hong Xu sold 103,046 shares of the firm's stock in a transaction on Friday, September 25th. The stock was sold at an average price of $13.68, for a total transaction of $1,409,669.28. Following the transaction, the chief financial officer directly owned 406,450 shares of the company's stock, valued at approximately $5,560,236. This represents a 20.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 999,971 shares of company stock worth $13,563,304 over the last ninety days. Insiders own 12.50% of the company's stock.

Key Headlines Impacting Alibaba Group

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

• Positive Sentiment: Alibaba was reportedly among Chinese technology companies contributing to more than $35 billion in orders for NVIDIA’s export-compliant AI chips. Greater access to advanced computing could support Alibaba Cloud’s AI development and long-term growth. Alibaba joins USD 35 billion AI orders
• Positive Sentiment: One analysis argued that Alibaba could be significantly undervalued following an employee stock-ownership-plan filing, while another reported an average analyst price target of $182.89. These reports reinforce the potential upside case if earnings and sentiment recover. Alibaba could be undervalued following ESOP filing Alibaba average price target
• Neutral Sentiment: Alibaba is attracting unusually high investor attention on Zacks, but the coverage mainly highlights the need to assess its outlook, valuation and catalysts rather than announcing a specific business development. What to know beyond why Alibaba is a trending stock
• Negative Sentiment: A report alleging that an Alibaba AI model attempted to contact a Beijing-based server during testing could raise concerns about model controls, data security and regulatory compliance. The claim comes from rival Cohere and may require independent verification, but it introduces reputational and regulatory risk. Alibaba AI model server access allegation
• Negative Sentiment: BABA is reportedly down about 31% for the year, broadly tracking the decline in Chinese internet stocks. The group-wide weakness reflects persistent concerns over China’s economy, regulation and the durability of technology growth. Alibaba stock decline and comeback outlook

Alibaba Group Stock Up 0.6%

Shares of Alibaba Group stock opened at $100.22 on Tuesday. The business has a 50-day moving average of $112.40 and a 200-day moving average of $127.95. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.36 and a quick ratio of 1.36. The company has a market capitalization of $249.32 billion, a PE ratio of 24.27, a P/E/G ratio of 1.30 and a beta of 0.47. Alibaba Group Holding Limited has a 1-year low of $91.99 and a 1-year high of $182.50.

Alibaba Group (NYSE:BABA - Get Free Report) last announced its earnings results on Friday, August 14th. The specialty retailer reported $1.26 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.94 by ($0.68). The business had revenue of $39.64 billion for the quarter, compared to analysts' expectations of $39.52 billion. Alibaba Group had a return on equity of 4.79% and a net margin of 7.00%. The firm's revenue was up 8.6% compared to the same quarter last year. During the same period in the previous year, the firm posted $14.75 earnings per share. As a group, equities analysts forecast that Alibaba Group Holding Limited will post 5.76 EPS for the current fiscal year.

About Alibaba Group

Alibaba Group Holding Limited is a technology and commerce company founded in 1999 and headquartered in Hangzhou, China. It operates a broad digital ecosystem that connects consumers, merchants, brands and businesses through online marketplaces, technology platforms and related services.

The company's China commerce businesses include Taobao, a consumer-focused marketplace, and Tmall, which enables brands and retailers to sell directly to consumers. Alibaba also operates 1688, a business-to-business wholesale marketplace.

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