Alibaba Group (NYSE:BABA) Shares Up 4.7% – Still a Buy?

Shares of Alibaba Group Holding Limited (NYSE:BABA) rose 4.7% during mid-day trading on Wednesday . The company traded as high as $129.34 and last traded at $125.2910. Approximately 17,519,451 shares traded hands during mid-day trading, an increase of 43% from the average daily volume of 12,217,346 shares. The stock had previously closed at $119.72.

Trending Headlines about Alibaba Group

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

• Positive Sentiment: Alibaba and China Telecom launched a major AI data center powered by Alibaba’s self‑developed Zhenwu AI semiconductors — a tangible step into large‑scale AI training/inference infrastructure that supports new revenue streams for cloud and AI services. Alibaba launches data center with 10,000 of its own chips as China ramps up AI push
• Positive Sentiment: The company unveiled a 10,000‑card computing cluster — a headline milestone that signals scale and helps justify investor optimism about Alibaba’s ability to compete on generative AI workloads. As AI race with US intensifies, China’s Alibaba launches 10,000‑card computing cluster
• Positive Sentiment: Analysts note Alibaba is stepping up AI hardware and data center builds to catch up with global rivals — moves that could lift cloud margins and long‑term growth expectations if monetization follows. Alibaba Stock Rises. How It’s Trying to Catch Up in the AI Race.
• Positive Sentiment: Alibaba is among major Chinese tech firms placing orders for domestic AI chips (including Huawei’s), underscoring Beijing’s push for self‑reliance and potentially shortening supply risks for China‑centric AI deployments. Alibaba Orders Huawei AI Chips As Valuation Gap Draws Investor Focus
• Neutral Sentiment: Market watchers note elevated investor interest and a consensus “Moderate Buy” from analysts — supportive background but not a guarantee of short‑term upside. Alibaba Group Holding Limited (NYSE:BABA) Given Consensus Rating of “Moderate Buy” by Analysts
• Neutral Sentiment: Alibaba made its NYSE debut, a milestone for liquidity and investor access; important structurally but of unclear immediate impact on fundamentals. Alibaba makes its NYSE debut
• Negative Sentiment: Analyst pieces warn of slowing e‑commerce growth, weak customer metric recovery (CMR) and falling profits in Alibaba’s core retail business — a reminder that AI progress may take time to offset near‑term revenue headwinds. Will Alibaba Stock Recover Despite Slowing E-Commerce Market Momentum?
• Negative Sentiment: Commentary explains why BABA plunged nearly 13% last month, highlighting regulatory, margin and macro risks that could re‑assert pressure if growth disappoints. Why Alibaba Stock Plummeted by Almost 13% Last Month

Analyst Upgrades and Downgrades

BABA has been the subject of a number of analyst reports. Nomura increased their price target on Alibaba Group from $193.00 to $237.00 and gave the stock a “buy” rating in a research note on Monday, January 26th. Morgan Stanley cut their price target on Alibaba Group from $200.00 to $180.00 and set an “overweight” rating for the company in a research note on Thursday, January 8th. Jefferies Financial Group cut their price objective on Alibaba Group from $225.00 to $212.00 and set a “buy” rating for the company in a research report on Thursday, March 19th. Robert W. Baird cut their price objective on Alibaba Group from $174.00 to $164.00 and set an “outperform” rating for the company in a research report on Friday, March 20th. Finally, Barclays cut their price objective on Alibaba Group from $195.00 to $190.00 and set an “overweight” rating for the company in a research report on Friday, March 20th. Sixteen analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Alibaba Group presently has a consensus rating of “Moderate Buy” and an average target price of $187.89.

Alibaba Group Trading Up 4.7%

The stock has a market cap of $299.12 billion, a PE ratio of 23.64, a price-to-earnings-growth ratio of 2.12 and a beta of 0.50. The stock has a 50-day moving average price of $143.11 and a two-hundred day moving average price of $156.26. The company has a debt-to-equity ratio of 0.22, a current ratio of 1.33 and a quick ratio of 1.33.

Alibaba Group (NYSE:BABA) last released its quarterly earnings results on Saturday, February 14th. The specialty retailer reported $0.13 EPS for the quarter. The company had revenue of $40.71 billion during the quarter. Alibaba Group had a return on equity of 7.43% and a net margin of 9.12%. Sell-side analysts forecast that Alibaba Group Holding Limited will post 7.86 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Ameriflex Group Inc. grew its position in Alibaba Group by 101.4% in the third quarter. Ameriflex Group Inc. now owns 143 shares of the specialty retailer’s stock worth $26,000 after acquiring an additional 72 shares in the last quarter. Mather Group LLC. purchased a new position in Alibaba Group in the third quarter worth about $30,000. Foster Dykema Cabot & Partners LLC purchased a new position in Alibaba Group in the third quarter worth about $30,000. NBT Bank N A NY grew its position in Alibaba Group by 231.5% in the third quarter. NBT Bank N A NY now owns 179 shares of the specialty retailer’s stock worth $32,000 after acquiring an additional 125 shares in the last quarter. Finally, Palisade Asset Management LLC purchased a new position in Alibaba Group in the third quarter worth about $37,000. Hedge funds and other institutional investors own 13.47% 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.