Alibaba Group (NYSE:BABA) Trading 2.1% Higher – Time to Buy?

Alibaba Group Holding Limited (NYSE:BABA) shares were up 2.1% during trading on Wednesday . The stock traded as high as $99.46 and last traded at $97.9520. 11,679,787 shares changed hands during mid-day trading, a decline of 3% from the average session volume of 12,060,681 shares. The stock had previously closed at $95.98.

Trending Headlines about Alibaba Group

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

• Positive Sentiment: Alibaba and Tencent are backing Kuaishou’s Kling AI in a $2.8 billion fundraise, signaling continued investment in China’s fast-growing AI sector and reinforcing Alibaba’s exposure to high-growth technology themes. Article: Alibaba, Tencent back Kuaishou’s Kling AI in $2.8 billion fundraise
• Positive Sentiment: Alibaba’s move to streamline AI work tools suggests management is continuing to optimize operations around artificial intelligence, which could support productivity and longer-term competitiveness. Article: Alibaba Streamlines AI Work Tools as Competition Mounts
• Positive Sentiment: Alibaba is still drawing investor attention, which can reflect renewed interest in the stock after its sharp pullback and the market’s focus on a potential turnaround. Article: Alibaba Group Holding Limited (BABA) is Attracting Investor Attention: Here is What You Should Know

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on BABA. Barclays boosted their price target on shares of Alibaba Group from $186.00 to $195.00 and gave the company an “overweight” rating in a report on Thursday, May 14th. HSBC lifted their price objective on shares of Alibaba Group from $172.00 to $180.00 in a research report on Thursday, May 14th. Argus raised shares of Alibaba Group to a “hold” rating in a research note on Tuesday, March 24th. Nomura reduced their target price on Alibaba Group from $207.00 to $178.00 and set a “buy” rating for the company in a report on Thursday, June 25th. Finally, Mizuho raised their target price on Alibaba Group from $190.00 to $195.00 and gave the stock an “outperform” rating in a research report on Thursday, May 14th. Two investment analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, Alibaba Group has a consensus rating of “Moderate Buy” and an average target price of $187.38.

Alibaba Group Stock Up 0.1%

The business’s 50-day moving average price is $122.35 and its 200-day moving average price is $138.27. 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 capitalization of $230.91 billion, a PE ratio of 15.80, a price-to-earnings-growth ratio of 1.70 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 EPS for the quarter. The firm 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 6.66 EPS for the current fiscal year.

Alibaba Group Dividend Announcement

The business also recently announced an annual dividend, which will be paid on Monday, July 13th. Shareholders of record on Thursday, June 11th will be paid 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 dividend payout ratio (DPR) is 16.91%.

Insider Buying and Selling at Alibaba Group

In related news, CEO Fan (Fj) Jiang sold 13,579 shares of the stock in a transaction on Thursday, June 25th. The stock was sold at an average price of $12.10, for a total transaction of $164,305.90. Following the completion of the sale, the chief executive officer directly owned 556,617 shares in the company, valued at approximately $6,735,065.70. This trade represents a 2.38% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Fang Jiang sold 4,898 shares of Alibaba Group stock in a transaction on Thursday, June 25th. The shares were sold at an average price of $12.09, for a total value of $59,216.82. Following the sale, the insider directly owned 5,559,511 shares of the company’s stock, valued at approximately $67,214,487.99. The trade was a 0.09% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 920,303 shares of company stock worth $70,796,370 over the last 90 days. 12.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Brighton Jones LLC grew its stake in shares of Alibaba Group by 40.4% in the 4th quarter. Brighton Jones LLC now owns 3,411 shares of the specialty retailer’s stock valued at $289,000 after buying an additional 981 shares in the last quarter. AQR Capital Management LLC bought a new position in Alibaba Group during the first quarter valued at approximately $254,000. Bank of Nova Scotia lifted its stake in Alibaba Group by 313.0% in the second quarter. Bank of Nova Scotia now owns 21,778 shares of the specialty retailer’s stock valued at $2,470,000 after acquiring an additional 16,505 shares during the last quarter. Daiwa Securities Group Inc. acquired a new stake in Alibaba Group in the second quarter valued at approximately $1,613,000. Finally, Ieq Capital LLC grew its position in Alibaba Group by 51.9% in the second quarter. Ieq Capital LLC now owns 70,060 shares of the specialty retailer’s stock worth $7,946,000 after acquiring an additional 23,925 shares in the last quarter. 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.