Alibaba Group (NYSE:BABA) Stock Price Down 1.8% Following Insider Selling

Alibaba Group Holding Limited (NYSE:BABA) fell 1.8% on Thursday after an insider sold shares in the company. The company traded as low as $95.19 and last traded at $96.2470. 11,703,240 shares changed hands during trading, a decline of 3% from the average daily volume of 12,059,566 shares. The stock had previously closed at $97.99.

Specifically, 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 value of $68,364,000.00. Following the completion of the sale, the president owned 28,000 shares in the company, valued at $2,658,600. This represents a 96.26% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, insider Fang Jiang sold 4,898 shares of the firm’s stock in a transaction dated Thursday, June 25th. The shares were sold at an average price of $12.09, for a total value of $59,216.82. Following the transaction, the insider directly owned 5,559,511 shares of the company’s stock, valued at $67,214,487.99. This represents a 0.09% decrease in their position. 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 related news, General Counsel Siying Yu sold 6,772 shares of Alibaba Group stock in a transaction dated Thursday, June 25th. The stock was sold at an average price of $12.10, for a total transaction of $81,941.20. Following the transaction, the general counsel directly owned 607,234 shares of the company’s stock, valued at $7,347,531.40. The trade was a 1.10% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Analyst Ratings Changes

A number of equities research analysts have weighed in on BABA shares. Zacks Research raised shares of Alibaba Group from a “strong sell” rating to a “hold” rating in a report on Tuesday, June 2nd. Robert W. Baird lowered their price objective on shares of Alibaba Group from $174.00 to $164.00 and set an “outperform” rating on the stock in a research note on Friday, March 20th. Mizuho boosted their target price on shares of Alibaba Group from $190.00 to $195.00 and gave the stock an “outperform” rating in a report on Thursday, May 14th. Freedom Capital raised shares of Alibaba Group from a “hold” rating to a “strong-buy” rating in a research note on Friday, April 24th. Finally, Nomura reduced their target price on shares of Alibaba Group from $207.00 to $178.00 and set a “buy” rating for the company in a report on Thursday, June 25th. Two analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat, Alibaba Group presently has a consensus rating of “Moderate Buy” and an average price target of $187.38.

Key Alibaba Group News

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

• Positive Sentiment: Alibaba’s affiliate Ant Group invested in Zeroth Robotics, adding to its push into humanoid robotics and AI-adjacent opportunities that could support long-term growth. Article: Alibaba-affiliate Ant Group rushes into humanoid robots with a dozen deals in 18 months
• Positive Sentiment: Access Advance announced Alibaba expanded its participation in the Video Distribution Patent Pool, a routine but constructive licensing update that suggests continued engagement in digital media infrastructure. Article: Access Advance and Alibaba Announce Alibaba’s Expanded Participation in the VDP Pool
• Neutral Sentiment: Alibaba’s president, J. Michael Evans, disclosed a large share sale, which may weigh on sentiment but was likely prearranged or related to stock compensation rather than a clear operating warning. Article: Alibaba Group (NYSE:BABA) President Sells 720,000 Shares
• Neutral Sentiment: Erste Group slightly cut its earnings estimates for FY2027 and FY2028, indicating a modestly more cautious view but not a major thesis change. Article: Alibaba Group stock and analyst coverage
• Negative Sentiment: Alibaba agreed to pay $600 million to settle U.S. DOJ allegations that its platforms failed to stop illegal pharmaceutical and restricted-product sales, creating legal, compliance, and reputational headwinds. Article: Alibaba, U.S. Payment Processor to Pay $600 Million in DOJ Settlement Over Illegal Drug Sales
• Negative Sentiment: Shareholder law firms have launched securities investigations, which can add overhang even without any proven misconduct. Article: BABA Investors Have Opportunity to Join Alibaba Group Holding Limited Fraud Investigation with the Schall Law Firm
• Negative Sentiment: Additional policy pressure is building, including the EU’s new fee on low-value Chinese e-commerce parcels and other trade-related restrictions that could affect Alibaba’s cross-border platforms like AliExpress. Article: EU slaps €3 fee on cheap ecommerce parcels in blow to Shein, Temu, AliExpress

Alibaba Group Price Performance

The stock has a 50-day moving average of $123.13 and a two-hundred day moving average of $138.69. The firm has a market cap of $230.91 billion, a price-to-earnings ratio of 15.80, a price-to-earnings-growth ratio of 1.67 and a beta of 0.51. The company has a current ratio of 1.28, a quick ratio of 1.28 and a debt-to-equity ratio of 0.21.

Alibaba Group (NYSE:BABA) last posted its quarterly earnings data on Tuesday, March 31st. The specialty retailer reported $0.01 earnings per share (EPS) for the quarter. Alibaba Group had a return on equity of 4.76% and a net margin of 10.31%.The firm had revenue of $35.30 billion for the quarter. On average, analysts anticipate that Alibaba Group Holding Limited will post 6.66 EPS for the current year.

Alibaba Group Dividend Announcement

The company also recently announced an annual dividend, which will be paid on Monday, July 13th. Stockholders of record on Thursday, June 11th will be given a $1.05 dividend. This represents a dividend yield of 93.0%. The ex-dividend date of this dividend is Thursday, June 11th. Alibaba Group’s dividend payout ratio (DPR) is 16.91%.

Institutional Investors Weigh In On Alibaba Group

A number of large investors have recently made changes to their positions in the company. Ameriflex Group Inc. lifted 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 acquiring an additional 72 shares in the last quarter. Hoey Investments Inc. grew its position in Alibaba Group by 95.2% during the 1st quarter. Hoey Investments Inc. now owns 205 shares of the specialty retailer’s stock worth $26,000 after purchasing an additional 100 shares in the last quarter. Foster Dykema Cabot & Partners LLC purchased a new position in Alibaba Group during the 3rd quarter worth approximately $30,000. Costello Asset Management INC acquired a new stake in Alibaba Group during the 4th quarter valued at $34,000. Finally, Palisade Asset Management LLC acquired a new stake in Alibaba Group during the 3rd quarter valued at $37,000. Institutional investors and hedge funds 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.