Alibaba Group (NYSE:BABA) Stock Crosses Above Fifty Day Moving Average – Here’s Why

Shares of Alibaba Group Holding Limited (NYSE:BABA) crossed above its 50 day moving average during trading on Friday. The stock has a 50 day moving average of $108.28 and traded as high as $109.69. Alibaba Group shares last traded at $109.2380, with a volume of 9,546,798 shares trading hands.

Analyst Ratings Changes

A number of research analysts have recently weighed in on the company. Susquehanna increased their price target on Alibaba Group from $185.00 to $190.00 and gave the company a “positive” rating in a research note on Friday, August 28th. Robert W. Baird decreased their target price on shares of Alibaba Group from $164.00 to $160.00 and set an “outperform” rating for the company in a research note on Friday, August 21st. JPMorgan Chase & Co. reduced their price target on Alibaba Group from $210.00 to $200.00 and set an “overweight” rating on the stock in a research report on Monday, October 12th. Citigroup raised their price objective on Alibaba Group from $190.00 to $193.00 and gave the company a “buy” rating in a research note on Thursday, October 8th. Finally, Piper Sandler downgraded Alibaba Group to a “hold” rating in a research report on Thursday, October 8th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Alibaba Group presently has a consensus rating of “Moderate Buy” and a consensus target price of $182.89.

Alibaba Group Trading Up 1.1%

The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.36 and a current ratio of 1.36. The firm has a market cap of $271.76 billion, a P/E ratio of 26.45, a price-to-earnings-growth ratio of 1.32 and a beta of 0.44. The stock has a fifty day simple moving average of $108.28 and a 200 day simple moving average of $125.04.

Alibaba Group (NYSE:BABA) last announced its quarterly earnings data on Friday, August 14th. The specialty retailer reported $1.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.94 by ($0.68). The firm had revenue of $39.64 billion during the quarter, compared to analyst estimates of $39.52 billion. Alibaba Group had a net margin of 7.00% and a return on equity of 4.79%. The business’s quarterly revenue was up 8.6% compared to the same quarter last year. During the same period in the prior year, the firm posted $14.75 earnings per share. On average, research analysts expect that Alibaba Group Holding Limited will post 5.76 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, Director Joseph C. Tsai acquired 720,000 shares of the firm’s stock in a transaction that occurred on Monday, August 24th. The stock was acquired at an average cost of $14.29 per share, for a total transaction of $10,288,800.00. Following the completion of the acquisition, the director owned 114,979,168 shares in the company, valued at $1,643,052,310.72. This represents a 0.63% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Fang Jiang sold 885,272 shares of Alibaba Group stock in a transaction dated Wednesday, September 30th. The stock was sold at an average price of $13.55, for a total transaction of $11,995,435.60. Following the completion of the sale, the insider directly owned 4,679,097 shares in the company, valued at approximately $63,401,764.35. This represents a 15.91% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 999,971 shares of company stock worth $13,563,304. 12.50% of the stock is owned by company insiders.

Institutional Trading of Alibaba Group

Large investors have recently modified their holdings of the business. Aureus Asset Management LLC grew its stake in shares of Alibaba Group by 511.0% in the 1st quarter. Aureus Asset Management LLC now owns 9,361 shares of the specialty retailer’s stock valued at $1,174,000 after buying an additional 7,829 shares during the period. IPG Investment Advisors LLC grew its position in shares of Alibaba Group by 97.8% in the second quarter. IPG Investment Advisors LLC now owns 17,019 shares of the specialty retailer’s stock valued at $1,647,000 after purchasing an additional 8,415 shares during the last quarter. Teachers Retirement System of The State of Kentucky lifted its position in shares of Alibaba Group by 24.5% in the 1st quarter. Teachers Retirement System of The State of Kentucky now owns 259,580 shares of the specialty retailer’s stock worth $32,567,000 after buying an additional 51,000 shares during the last quarter. QV Investors Inc. raised its position in Alibaba Group by 66.3% during the third quarter. QV Investors Inc. now owns 123,617 shares of the specialty retailer’s stock valued at $13,294,000 after acquiring an additional 49,270 shares in the last quarter. Finally, Jennison Associates LLC increased its position in shares of Alibaba Group by 54.2% in the 1st quarter. Jennison Associates LLC now owns 83,627 shares of the specialty retailer’s stock valued at $10,492,000 after buying an additional 29,392 shares in the last quarter. 13.47% of the stock is currently owned by institutional investors and hedge funds.

About Alibaba Group

Alibaba Group Holding Limited is a technology and commerce company founded in 1999 and headquartered in Hangzhou, China. It operates digital platforms that connect consumers, merchants, businesses and other participants in commerce.

Its businesses include China-focused marketplaces such as Taobao and Tmall, international platforms including AliExpress and Alibaba.com, and Alibaba Cloud, which provides cloud computing and related technology services. The group also has operations in areas such as logistics, local services and digital media.

Alibaba serves customers and businesses in China and across international markets.