Alibaba Group (NYSE:BABA) Trading Down 2.3% – Should You Sell?

Alibaba Group Holding Limited (NYSE:BABA)’s stock price fell 2.3% during trading on Thursday . The stock traded as low as $109.66 and last traded at $112.6690. 16,179,754 shares were traded during mid-day trading, an increase of 37% from the average session volume of 11,816,144 shares. The stock had previously closed at $115.38.

More Alibaba Group News

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?

Analyst Ratings Changes

Several brokerages have recently commented on BABA. Freedom Capital upgraded shares of Alibaba Group from a “hold” rating to a “strong-buy” rating in a research report on Friday, April 24th. Nomura boosted their target price on shares of Alibaba Group from $200.00 to $207.00 and gave the company a “buy” rating in a research report on Friday, May 15th. Zacks Research upgraded shares of Alibaba Group from a “strong sell” rating to a “hold” rating in a research report on Tuesday, June 2nd. DZ Bank cut shares of Alibaba Group from a “buy” rating to a “hold” rating and set a $135.00 target price for the company. in a research report on Friday, March 20th. Finally, JPMorgan Chase & Co. boosted their target price 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 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 data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $188.76.

Alibaba Group Stock Up 0.0%

The company has a market capitalization of $270.39 billion, a P/E ratio of 18.51, a price-to-earnings-growth ratio of 1.93 and a beta of 0.47. 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 $130.07 and its 200-day moving average is $143.93.

Alibaba Group (NYSE:BABA) last announced its quarterly earnings results on Tuesday, March 31st. The specialty retailer reported $0.01 earnings per share (EPS) for the quarter. The company had revenue of $35.30 billion for the quarter. Alibaba Group had a net margin of 10.31% and a return on equity of 4.76%. As a group, equities research analysts predict that Alibaba Group Holding Limited will post 6.75 EPS 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 dividend of $1.05 per share. The ex-dividend date of this dividend is Thursday, June 11th. This represents a dividend yield of 93.0%. Alibaba Group’s payout ratio is 16.91%.

Institutional Investors Weigh In On Alibaba Group

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Bleakley Financial Group LLC grew its holdings in Alibaba Group by 0.4% during the 4th quarter. Bleakley Financial Group LLC now owns 16,420 shares of the specialty retailer’s stock worth $2,407,000 after acquiring an additional 67 shares during the last quarter. Ameriflex Group Inc. grew its holdings in Alibaba Group by 101.4% during the 3rd quarter. Ameriflex Group Inc. now owns 143 shares of the specialty retailer’s stock worth $26,000 after acquiring an additional 72 shares during the last quarter. Highline Wealth Partners LLC grew its holdings in Alibaba Group by 20.7% during the 4th quarter. Highline Wealth Partners LLC now owns 426 shares of the specialty retailer’s stock worth $62,000 after acquiring an additional 73 shares during the last quarter. TrueWealth Financial Partners grew its holdings in Alibaba Group by 1.7% during the 3rd quarter. TrueWealth Financial Partners now owns 4,361 shares of the specialty retailer’s stock worth $779,000 after acquiring an additional 75 shares during the last quarter. Finally, Cypress Wealth Services LLC grew its holdings in Alibaba Group by 5.6% during the 4th quarter. Cypress Wealth Services LLC now owns 1,418 shares of the specialty retailer’s stock worth $208,000 after acquiring an additional 75 shares during the last quarter. 13.47% of the stock is owned by institutional investors.

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.