Teachers Retirement System of The State of Kentucky Buys 51,000 Shares of Alibaba Group Holding Limited $BABA

Key Points

• Teachers Retirement System of The State of Kentucky boosted its Alibaba stake by 24.5% in the first quarter, buying 51,000 more shares and bringing its total holding to 259,580 shares worth about $32.6 million.
• Wall Street sentiment remains generally positive on Alibaba, with analysts assigning a consensus “Moderate Buy” rating and an average price target of $186.90 despite some mixed target-price changes.
• Alibaba is facing both tailwinds and headwinds: news around AI/cloud growth and possible access to Nvidia H200 chips has supported shares, while a $600 million DOJ settlement and investor investigations create legal and reputational overhangs.

Teachers Retirement System of The State of Kentucky increased its stake in Alibaba Group Holding Limited (NYSE:BABA - Free Report) by 24.5% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 259,580 shares of the specialty retailer's stock after acquiring an additional 51,000 shares during the period. Teachers Retirement System of The State of Kentucky's holdings in Alibaba Group were worth $32,567,000 as of its most recent SEC filing.

Several other institutional investors also recently bought and sold shares of the stock. Hoey Investments Inc. grew its position in Alibaba Group by 95.2% during the 1st quarter. Hoey Investments Inc. now owns 205 shares of the specialty retailer's stock worth $26,000 after acquiring an additional 100 shares during the last quarter. Palisade Asset Management LLC bought a new stake in Alibaba Group in the third quarter valued at approximately $37,000. Costello Asset Management INC bought a new stake in Alibaba Group in the fourth quarter valued at approximately $34,000. Palladiem LLC purchased a new stake in shares of Alibaba Group during the fourth quarter valued at approximately $38,000. Finally, Key Financial Inc boosted its stake in shares of Alibaba Group by 316.9% during the fourth quarter. Key Financial Inc now owns 271 shares of the specialty retailer's stock valued at $40,000 after purchasing an additional 206 shares during the period. 13.47% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

BABA has been the topic of several recent analyst reports. Robert W. Baird cut their target price on shares of Alibaba Group from $174.00 to $164.00 and set an "outperform" rating on the stock in a report on Friday, March 20th. Zacks Research raised shares of Alibaba Group from a "strong sell" rating to a "hold" rating in a research report on Tuesday, June 2nd. Susquehanna increased their price target on shares of Alibaba Group from $170.00 to $185.00 and gave the company a "positive" rating in a research report on Friday, May 15th. Argus raised shares of Alibaba Group to a "hold" rating in a report on Tuesday, March 24th. Finally, JPMorgan Chase & Co. boosted their price objective on shares of Alibaba Group from $200.00 to $205.00 and gave the company an "overweight" rating in a research report on Thursday, May 14th. Two research analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and five have given a Hold rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $186.90.

Alibaba Group Price Performance

BABA opened at $112.30 on Monday. 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 Holding Limited has a 52-week low of $91.99 and a 52-week high of $192.67. The stock has a market capitalization of $269.61 billion, a PE ratio of 18.44, a price-to-earnings-growth ratio of 2.07 and a beta of 0.51. The stock's 50 day moving average price is $118.89 and its 200-day moving average price is $136.37.

Alibaba Group (NYSE:BABA - Get Free Report) last announced its quarterly earnings results on Tuesday, March 31st. The specialty retailer reported $0.01 EPS for the quarter. Alibaba Group had a return on equity of 4.76% and a net margin of 10.31%.The company had revenue of $35.30 billion during the quarter. On average, equities research analysts predict that Alibaba Group Holding Limited will post 6.28 EPS for the current year.

Alibaba Group Dividend Announcement

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

Key Alibaba Group News

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

• Positive Sentiment: Alibaba shares rallied after reports highlighted improving optimism around its AI and cloud businesses, including commentary that AI-driven revenue could support earnings and a re-rating of the stock. Alibaba shares jump on AI cloud market
• Positive Sentiment: News that China may allow selected firms, including Alibaba, to access Nvidia’s H200 chips could support Alibaba’s AI development and cloud infrastructure plans. Related China AI chip access report
• Positive Sentiment: Alibaba also received a temporary U.S. legal reprieve from certain Pentagon-linked lobbying restrictions, easing one source of regulatory pressure in the near term. Alibaba settles DOJ case as AI rules tighten
• Neutral Sentiment: The company is updating internal AI policies in response to China’s tightening AI rules, including changes to its Qwen platform and restrictions on some third-party tools, which mainly signals compliance rather than an immediate financial impact. Alibaba settles DOJ case as AI rules tighten
• Negative Sentiment: Alibaba agreed to a $600 million non-prosecution settlement with the U.S. Department of Justice over historic illegal pharmaceutical sales, adding a meaningful legal overhang and potential reputational drag. Alibaba settles DOJ case as AI rules tighten
• Negative Sentiment: Investor-rights and securities-fraud law firms announced investigations into Alibaba, which can weigh on sentiment even if no wrongdoing has been proven. Howard G. Smith securities fraud investigation

Insiders Place Their Bets

In other news, CFO Hong Xu sold 175,054 shares of the firm's stock in a transaction dated Thursday, June 25th. The shares were sold at an average price of $12.15, for a total value of $2,126,906.10. Following the completion of the sale, the chief financial officer directly owned 280,496 shares of the company's stock, valued at approximately $3,408,026.40. This trade represents a 38.43% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. 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 Alibaba Group stock in a transaction dated Monday, June 29th. The shares were sold at an average price of $94.95, for a total transaction of $68,364,000.00. Following the sale, the president directly owned 28,000 shares in the company, valued at $2,658,600. The trade was a 96.26% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 920,303 shares of company stock worth $70,796,370. Company insiders own 12.50% of the company's stock.

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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