Alibaba Group (NYSE:BABA) Shares Down 1.4% – Time to Sell?

Shares of Alibaba Group Holding Limited (NYSE:BABA) traded down 1.4% during mid-day trading on Tuesday . The company traded as low as $109.05 and last traded at $110.9880. 13,347,547 shares changed hands during mid-day trading, an increase of 13% from the average daily volume of 11,762,762 shares. The stock had previously closed at $112.55.

Key Stories Impacting Alibaba Group

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

• Negative Sentiment: Alibaba was added to a new Pentagon blacklist over alleged ties to the Chinese military, which the company denies and plans to contest. While analysts say the direct business impact may be limited, the move adds fresh regulatory and geopolitical uncertainty for BABA. Alibaba (BABA) Faces Pentagon Blacklist As It Pushes Deeper Into AI Robotics
• Negative Sentiment: Broader weakness in Chinese equities is also weighing on sentiment, as a major China stock gauge nears bear-market territory on concern about slowing growth and weakness in internet and consumer names. China Stock Gauge Nears Bear Market on Weak Growth, Tech Slide
• Neutral Sentiment: Alibaba continues to highlight its AI push, including robotics models for logistics and warehousing, and executives discussed AI investment opportunities at VivaTech. This supports the long-term growth story, but it is not an immediate catalyst by itself. Alibaba’s Tsai, zu Furstenberg Discuss AI Investment
• Neutral Sentiment: The company filed its annual report on Form 20-F for fiscal 2026, a standard disclosure that confirms updated financial reporting but does not appear to change the investment outlook on its own. Alibaba Group Announces Filing of Annual Report on Form 20-F for Fiscal Year 2026
• Neutral Sentiment: Alibaba also adjusted conversion terms on its 2031 convertible notes after the 2026 dividend, which is a financing-related update and likely a modest market impact item. Alibaba adjusts conversion terms on 2031 convertible notes after 2026 dividend

Wall Street Analysts Forecast Growth

BABA has been the subject of a number of analyst reports. HSBC upped their target price on shares of Alibaba Group from $172.00 to $180.00 in a research note on Thursday, May 14th. Robert W. Baird decreased their price target on shares of Alibaba Group from $174.00 to $164.00 and set an “outperform” rating for the company in a research note on Friday, March 20th. Susquehanna increased their price objective 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. Erste Group Bank lowered shares of Alibaba Group from a “buy” rating to a “hold” rating in a report on Wednesday, February 18th. Finally, Argus upgraded shares of Alibaba Group to a “hold” rating in a research note on Tuesday, March 24th. Two investment analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat, Alibaba Group has a consensus rating of “Moderate Buy” and a consensus target price of $188.76.

Alibaba Group Price Performance

The company has a debt-to-equity ratio of 0.21, a current ratio of 1.28 and a quick ratio of 1.28. The company’s 50 day simple moving average is $129.36 and its 200 day simple moving average is $142.81. The company has a market capitalization of $257.23 billion, a PE ratio of 17.61, a price-to-earnings-growth ratio of 1.90 and a beta of 0.47.

Alibaba Group (NYSE:BABA) last issued its earnings results on Tuesday, March 31st. The specialty retailer reported $0.01 earnings per share (EPS) for the quarter. The business 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%. As a group, sell-side analysts predict that Alibaba Group Holding Limited will post 6.75 earnings per share for the current year.

Alibaba Group Dividend Announcement

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

Hedge Funds Weigh In On Alibaba Group

Several hedge funds have recently made changes to their positions in BABA. Ameriflex Group Inc. boosted its position in shares of Alibaba Group by 101.4% in the 3rd quarter. Ameriflex Group Inc. now owns 143 shares of the specialty retailer’s stock valued at $26,000 after purchasing an additional 72 shares during the period. Foster Dykema Cabot & Partners LLC purchased a new stake in Alibaba Group in the third quarter valued at approximately $30,000. Hoey Investments Inc. lifted its stake in Alibaba Group by 95.2% in the first quarter. Hoey Investments Inc. now owns 205 shares of the specialty retailer’s stock valued at $26,000 after buying an additional 100 shares during the last quarter. Palisade Asset Management LLC acquired a new stake in shares of Alibaba Group in the third quarter valued at approximately $37,000. Finally, Costello Asset Management INC purchased a new position in shares of Alibaba Group during the fourth quarter worth approximately $34,000. Hedge funds and other institutional investors own 13.47% of the company’s stock.

About Alibaba Group

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.