Alibaba Group (NYSE:BABA) Shares Down 2% – Should You Sell?

Alibaba Group Holding Limited (NYSE:BABA) shares traded down 2% during mid-day trading on Tuesday . The stock traded as low as $117.65 and last traded at $117.95. Approximately 8,958,055 shares traded hands during mid-day trading, a decline of 27% from the average daily volume of 12,245,262 shares. The stock had previously closed at $120.34.

Analyst Ratings Changes

BABA has been the topic of a number of recent analyst reports. Susquehanna upped their target price 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. Weiss Ratings restated a “hold (c+)” rating on shares of Alibaba Group in a report on Wednesday, May 27th. Zacks Research raised shares of Alibaba Group from a “strong sell” rating to a “hold” rating in a research report on Tuesday, June 2nd. Morgan Stanley lifted their target price on shares of Alibaba Group from $180.00 to $190.00 and gave the company an “overweight” rating in a report on Thursday, May 14th. Finally, Mizuho upped their price target on Alibaba Group from $190.00 to $195.00 and gave the stock an “outperform” rating in a research note on Thursday, May 14th. Two investment analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $186.90.

Alibaba Group Price Performance

The company’s 50-day moving average price is $115.40 and its 200-day moving average price is $134.52. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 0.21. The firm has a market cap of $275.55 billion, a price-to-earnings ratio of 18.93, a PEG ratio of 2.17 and a beta of 0.51.

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

Alibaba Group Announces Dividend

The firm also recently declared an annual dividend, which was paid on Monday, July 13th. Shareholders of record on Thursday, June 11th were paid a $1.05 dividend. The ex-dividend date was Thursday, June 11th. This represents a dividend yield of 93.0%. Alibaba Group’s payout ratio is 16.91%.

Insider Buying and Selling at Alibaba Group

In other news, President J. Michael Evans sold 720,000 shares of the company’s stock in a transaction on Monday, June 29th. The stock was sold at an average price of $94.95, for a total transaction of $68,364,000.00. Following the sale, the president owned 28,000 shares of the company’s stock, valued at approximately $2,658,600. This represents a 96.26% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, General Counsel Siying Yu sold 6,772 shares of the stock in a transaction on Thursday, June 25th. The shares were sold at an average price of $12.10, for a total value of $81,941.20. Following the completion of the sale, the general counsel owned 607,234 shares in the company, valued at approximately $7,347,531.40. The trade was a 1.10% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders have sold 920,303 shares of company stock valued at $70,796,370. Insiders own 12.50% of the company’s stock.

Hedge Funds Weigh In On Alibaba Group

Institutional investors and hedge funds have recently made changes to their positions in the stock. Bleakley Financial Group LLC raised its holdings in shares of Alibaba Group by 0.4% in the fourth quarter. Bleakley Financial Group LLC now owns 16,420 shares of the specialty retailer’s stock valued at $2,407,000 after buying an additional 67 shares during the last quarter. Highline Wealth Partners LLC increased its position in Alibaba Group by 20.7% in the 4th quarter. Highline Wealth Partners LLC now owns 426 shares of the specialty retailer’s stock valued at $62,000 after acquiring an additional 73 shares during the period. Cypress Wealth Services LLC raised its stake 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 valued at $208,000 after acquiring an additional 75 shares during the last quarter. Keybank National Association OH raised its stake in Alibaba Group by 2.7% during the 4th quarter. Keybank National Association OH now owns 2,840 shares of the specialty retailer’s stock valued at $416,000 after acquiring an additional 75 shares during the last quarter. Finally, Cary Street Partners Investment Advisory LLC lifted its position in Alibaba Group by 4.1% during the 4th quarter. Cary Street Partners Investment Advisory LLC now owns 1,915 shares of the specialty retailer’s stock worth $281,000 after acquiring an additional 76 shares during the period. 13.47% of the stock is owned by institutional investors and hedge funds.

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.