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Hong Xu Sells 175,054 Shares of Alibaba Group (NYSE:BABA) Stock

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Key Points

  • Alibaba CFO Hong Xu sold 175,054 shares on June 25 at an average price of $12.15, totaling about $2.13 million. The filing says the sale was made to cover tax withholding obligations tied to vested equity awards.
  • Alibaba recently declared an annual dividend of $1.05 per share, payable on July 13 to shareholders of record on June 11. The payout implies a very high dividend yield and a payout ratio of 16.91%.
  • Analysts remain broadly constructive on BABA, with a consensus rating of “Moderate Buy” and an average target price of $187.38. Recent notes included price-target increases from Morgan Stanley and Barclays, though some firms trimmed targets or downgraded the stock to hold.
  • MarketBeat previews the top five stocks to own by July 1st.

Alibaba Group Holding Limited (NYSE:BABA - Get Free Report) CFO Hong Xu sold 175,054 shares of the firm's stock in a transaction on Thursday, June 25th. The stock was sold at an average price of $12.15, for a total value of $2,126,906.10. Following the transaction, the chief financial officer directly owned 280,496 shares of the company's stock, valued at approximately $3,408,026.40. This represents a 38.43% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Alibaba Group Trading Up 0.0%

NYSE:BABA opened at $94.83 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. The firm's fifty day moving average is $125.73 and its 200-day moving average is $139.98. Alibaba Group Holding Limited has a 52 week low of $91.99 and a 52 week high of $192.67. The firm has a market cap of $227.51 billion, a P/E ratio of 15.57, a P/E/G ratio of 1.64 and a beta of 0.48.

Alibaba Group (NYSE:BABA - Get Free Report) last released its quarterly earnings data on Tuesday, March 31st. The specialty retailer reported $0.01 earnings per share for the quarter. The company had revenue of $35.30 billion during the quarter. Alibaba Group had a net margin of 10.31% and a return on equity of 4.76%. Equities analysts expect that Alibaba Group Holding Limited will post 6.69 earnings per share for the current year.

Alibaba Group Announces Dividend

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

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on BABA shares. Morgan Stanley increased their price objective on Alibaba Group from $180.00 to $190.00 and gave the company an "overweight" rating in a report on Thursday, May 14th. Argus upgraded Alibaba Group to a "hold" rating in a research note on Tuesday, March 24th. DZ Bank cut Alibaba Group from a "buy" rating to a "hold" rating and set a $135.00 price objective on the stock. in a research note on Friday, March 20th. Barclays upped their price objective on shares of Alibaba Group from $186.00 to $195.00 and gave the company an "overweight" rating in a report on Thursday, May 14th. Finally, Robert W. Baird cut their target price on shares of Alibaba Group from $174.00 to $164.00 and set an "outperform" rating for the company in a research report on Friday, March 20th. 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 company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $187.38.

View Our Latest Report on Alibaba Group

Key Alibaba Group News

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

Institutional Investors Weigh In On Alibaba Group

Several hedge funds have recently bought and sold shares of BABA. Brighton Jones LLC increased its holdings in Alibaba Group by 40.4% during the 4th quarter. Brighton Jones LLC now owns 3,411 shares of the specialty retailer's stock valued at $289,000 after purchasing an additional 981 shares during the period. AQR Capital Management LLC bought a new stake in Alibaba Group during the 1st quarter valued at approximately $254,000. Bank of Nova Scotia grew its holdings in shares of Alibaba Group by 313.0% during the 2nd quarter. Bank of Nova Scotia now owns 21,778 shares of the specialty retailer's stock worth $2,470,000 after acquiring an additional 16,505 shares during the period. Daiwa Securities Group Inc. bought a new position in shares of Alibaba Group in the 2nd quarter worth approximately $1,613,000. Finally, Ieq Capital LLC raised its position in shares of Alibaba Group by 51.9% in the 2nd quarter. Ieq Capital LLC now owns 70,060 shares of the specialty retailer's stock worth $7,946,000 after acquiring an additional 23,925 shares in the last quarter. 13.47% of the stock is currently owned by institutional investors.

Alibaba Group Company Profile

(Get Free Report)

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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This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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