Alibaba Group (NYSE:BABA) Upgraded to Outperform by Sanford C. Bernstein

On Tuesday, investment analysts at Sanford C. Bernstein upgraded Alibaba Group (NYSE:BABA) from a "market perform" rating to an "outperform" rating, according to a report.

Recent Analyst Recommendations

Alibaba has been the subject of various research evaluations recently. For instance, StockNews.com upgraded the company from a "hold" rating to a "buy" rating last Friday. Meanwhile, Mizuho increased its target price for Alibaba from $92.00 to $113.00, also assigning an "outperform" rating in their note on November 12th.

Additionally, in a recent research note, Benchmark raised their price target for the stock from $118.00 to $190.00, giving it a "buy" rating. Similarly, JPMorgan Chase & Co. elevated their price objective from $125.00 to $170.00, marking it with an "overweight" rating. Citigroup also contributed, raising its target price from $133.00 to $138.00 while maintaining a "buy" rating on January 10th. Overall, 15 investment analysts have issued a "buy" rating on Alibaba Group, leading to a consensus rating of "Buy" with an average target price of $138.36, as reported by MarketBeat.com.

Stock Performance Overview

During mid-day trading on Tuesday, shares of Alibaba Group rose by $5.00, reaching $134.04, with a trading volume of 36,394,646 shares compared to an average of 31,609,166. The stock has seen significant fluctuations over the past year, having a low of $68.36 and a high of $145.30. Currently, the company's market capitalization stands at $318.48 billion, with a P/E ratio of 19.37 and a P/E/G ratio of 0.61, exhibiting a beta of 0.31. The 50-day moving average price for Alibaba Group is $96.29, and its 200-day moving average is $93.43. Financial metrics show a debt-to-equity ratio of 0.19 with both a quick and current ratio of 1.48.

Earnings Results

Alibaba Group last reported its earnings results on February 20th, where it disclosed earnings per share (EPS) of $2.77 for the quarter, slightly missing the consensus estimate of $2.84 by $0.07. Despite this, the company achieved a net margin of 12.29% and a return on equity of 12.89%. The reported revenue for this quarter was $38.38 billion, surpassing analyst expectations of $38.19 billion. Analysts project that Alibaba Group will post earnings of $7.86 per share for the current year.

Institutional Trading Activity

Recently, several hedge funds adjusted their positions in Alibaba Group. For example, Concord Wealth Partners increased their stake by 155.0% during the third quarter, owning now 255 shares worth $27,000 after acquiring an additional 155 shares. Decker Retirement Planning Inc. made a new investment in Alibaba during the fourth quarter, valued at $31,000. Furthermore, Sierra Ocean LLC and Highline Wealth Partners LLC also bought new positions in Alibaba during the fourth quarter, valued at approximately $32,000 and $36,000, respectively. Assetmark Inc. boosted its position by 225.4% during the third quarter, resulting in ownership of 397 shares now valued at $42,000. Reports show that about 13.47% of the stock is held by institutional investors.

About Alibaba Group

Alibaba Group Holding Limited offers a wide range of technology infrastructure and marketing reach through its subsidiaries, aiming to help merchants, brands, retailers, and businesses connect with customers in China and globally. The firm operates through seven segments: China Commerce, International Commerce, Local Consumer Services, Cainiao, Cloud, Digital Media and Entertainment, and Innovation Initiatives and Others.

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