Platinum Investment Management Ltd. Sells 7,773 Shares of Alibaba Group Holding Limited $BABA

Key Points

• Platinum Investment Management cut its Alibaba stake by 59.3% in the fourth quarter, selling 7,773 shares and leaving it with 5,333 shares valued at about $782,000.
• Analyst sentiment remains generally positive: Alibaba has a Moderate Buy consensus rating, with 18 Buy/Strong Buy ratings and an average price target of $188.76.
• Alibaba is facing a mix of business opportunities and risks, including a reported $1.5 billion bid for grocery-delivery firm Pupu, while regulatory scrutiny and fraud investigations continue to weigh on sentiment.

Platinum Investment Management Ltd. lowered its stake in shares of Alibaba Group Holding Limited (NYSE:BABA - Free Report) by 59.3% during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 5,333 shares of the specialty retailer's stock after selling 7,773 shares during the quarter. Platinum Investment Management Ltd.'s holdings in Alibaba Group were worth $782,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors also recently added to or reduced their stakes in the company. Ameriflex Group Inc. boosted its position in Alibaba Group by 101.4% during the third quarter. Ameriflex Group Inc. now owns 143 shares of the specialty retailer's stock valued at $26,000 after purchasing an additional 72 shares in the last quarter. Foster Dykema Cabot & Partners LLC bought a new stake in Alibaba Group during the third quarter valued at about $30,000. Costello Asset Management INC bought a new stake in Alibaba Group during the fourth quarter valued at about $34,000. Palisade Asset Management LLC bought a new stake in Alibaba Group during the third quarter valued at about $37,000. Finally, Palladiem LLC bought a new stake in Alibaba Group during the fourth quarter valued at about $38,000. Institutional investors own 13.47% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities research analysts recently weighed in on BABA shares. Zacks Research raised Alibaba Group from a "strong sell" rating to a "hold" rating in a research report on Tuesday, June 2nd. Morgan Stanley raised their price objective on Alibaba Group from $180.00 to $190.00 and gave the company an "overweight" rating in a research report on Thursday, May 14th. Jefferies Financial Group lowered their price target on Alibaba Group from $225.00 to $212.00 and set a "buy" rating for the company in a report on Thursday, March 19th. Mizuho raised their price target on Alibaba Group from $190.00 to $195.00 and gave the stock an "outperform" rating in a report on Thursday, May 14th. Finally, Wall Street Zen raised Alibaba Group from a "sell" rating to a "hold" rating in a report on Saturday, May 23rd. Two analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat, Alibaba Group has a consensus rating of "Moderate Buy" and an average price target of $188.76.

Alibaba Group Price Performance

Shares of NYSE BABA opened at $112.71 on Friday. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.28 and a current ratio of 1.28. The company has a market cap of $270.39 billion, a PE ratio of 18.51, a P/E/G ratio of 1.93 and a beta of 0.47. The business has a 50-day simple moving average of $130.07 and a two-hundred day simple moving average of $143.93. Alibaba Group Holding Limited has a fifty-two week low of $103.71 and a fifty-two week high of $192.67.

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 for the quarter. The business had revenue of $35.30 billion during the quarter. Alibaba Group had a return on equity of 4.76% and a net margin of 10.31%. As a group, equities analysts expect that Alibaba Group Holding Limited will post 6.75 EPS for the current fiscal year.

Alibaba Group Announces Dividend

The company also recently disclosed an annual dividend, which will be paid on Monday, July 13th. Stockholders of record on Thursday, June 11th will be paid a $1.05 dividend. This represents a dividend yield of 93.0%. The ex-dividend date is Thursday, June 11th. Alibaba Group's dividend payout ratio (DPR) is presently 16.91%.

Key Stories Impacting Alibaba Group

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

• Positive Sentiment: Alibaba reportedly offered about $1.5 billion to buy grocery delivery firm Pupu, a move that would expand its instant-retail and grocery push and sharpen its competition with Meituan. Alibaba Bids $1.5B for Pupu to Challenge Meituan in Grocery Delivery
• Positive Sentiment: Several recent analyst notes remain constructive, with price targets clustering well above the current trading range, suggesting some investors still see meaningful upside.
• Neutral Sentiment: Alibaba also named a new CEO for DingTalk after internal debate over AI strategy, signaling ongoing management changes but not an immediate financial impact. Alibaba Names 34-Year-Old Tech Geek as DingTalk’s New CEO
• Negative Sentiment: Beijing reportedly criticized discount-heavy promotions during the 618 shopping festival, adding fresh regulatory risk for Alibaba and other Chinese e-commerce leaders. Alibaba and JD Slide After Beijing Rebuke
• Negative Sentiment: Two securities-fraud law firms announced continuing investigations into Alibaba, which can further hurt sentiment by raising litigation and governance concerns. Securities Fraud Investigation Into Alibaba Group Holding Ltd. (BABA) Continues
• Negative Sentiment: The stock is also being weighed by reports that Alibaba was added to a U.S. Defense Department list of companies linked to China’s military, which could increase institutional caution toward the ADR. Is Alibaba Group Holding Limited (BABA) A Good Stock To Buy Now?

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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