Alibaba Group (NYSE:BABA) Trading 5.2% Higher After Analyst Upgrade

Alibaba Group Holding Limited (NYSE:BABA) shares rose 5.2% on Thursday after Arete Research upgraded the stock from a neutral rating to a buy rating. Arete Research now has a $190.00 price target on the stock. Alibaba Group traded as high as $181.10 and last traded at $177.46. Approximately 31,641,329 shares traded hands during trading, an increase of 81% from the average daily volume of 17,475,699 shares. The stock had previously closed at $168.67.

Other research analysts also recently issued research reports about the company. Weiss Ratings reiterated a “buy (b-)” rating on shares of Alibaba Group in a report on Wednesday, October 8th. Mizuho set a $195.00 price objective on Alibaba Group in a research report on Wednesday, October 22nd. Loop Capital set a $140.00 target price on Alibaba Group in a report on Tuesday, January 6th. Jefferies Financial Group reduced their price target on shares of Alibaba Group from $231.00 to $225.00 and set a “buy” rating for the company in a research report on Thursday, January 8th. Finally, Barclays boosted their price objective on shares of Alibaba Group from $190.00 to $195.00 and gave the company an “overweight” rating in a research report on Wednesday, November 26th. Eighteen research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $192.72.

Trending Headlines about Alibaba Group

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

• Positive Sentiment: Reports say Alibaba is preparing an initial public offering for T‑Head, its AI chip unit, which could unlock value, attract investor interest in China’s AI semiconductor plays, and position Alibaba to better compete with AI-accelerator leaders. This is the main driver cited for today’s rally. Alibaba to plan IPO for AI chipmaking unit T-Head (Reuters)
• Positive Sentiment: Multiple outlets corroborate the IPO story and note strong investor demand for AI chip listings, amplifying momentum into Alibaba shares as markets price in potential standalone value for T‑Head. Alibaba shares surge after report co prepares IPO of AI chip unit (Investing.com)
• Positive Sentiment: Alibaba reportedly formed a JV with state nuclear developer CNNC to secure power for expanded AI/data-center operations — a strategic move to ensure reliable energy for compute-heavy AI workloads and to support long-term infrastructure needs. Alibaba forms JV with Chinese state-owned nuclear developer (DataCenterD)
• Positive Sentiment: Analyst sentiment is improving — Arete Research upgraded BABA to a buy with a higher $190 target, providing independent support for upside expectations amid the AI playbook. Analyst upgrade to Buy (Finviz / Arete Research summary)
• Neutral Sentiment: Reports note Alibaba may first restructure T‑Head into a standalone entity with partial employee ownership before an IPO; timing, size and regulatory approvals remain unclear — this creates upside potential but also execution and timing risk. T-Head restructure and employee stake details (Proactive Investors)
• Neutral Sentiment: Broader industry moves — Chinese tech firms (including Alibaba) are racing to embed AI into commerce and apps, which underpins long-term growth but also intensifies competition and regulatory scrutiny. AI super-app race (CNBC)

Institutional Investors Weigh In On Alibaba Group

A number of large investors have recently bought and sold shares of BABA. Madrona Financial Services LLC lifted its position in shares of Alibaba Group by 6.0% during the 4th quarter. Madrona Financial Services LLC now owns 2,115 shares of the specialty retailer’s stock worth $310,000 after purchasing an additional 120 shares during the last quarter. HHM Wealth Advisors LLC increased its position in Alibaba Group by 75.9% in the 4th quarter. HHM Wealth Advisors LLC now owns 1,854 shares of the specialty retailer’s stock worth $272,000 after buying an additional 800 shares during the period. Venturi Wealth Management LLC lifted its holdings in shares of Alibaba Group by 15.2% during the fourth quarter. Venturi Wealth Management LLC now owns 2,953 shares of the specialty retailer’s stock worth $433,000 after buying an additional 389 shares during the last quarter. Apollon Wealth Management LLC boosted its position in shares of Alibaba Group by 24.5% in the fourth quarter. Apollon Wealth Management LLC now owns 5,310 shares of the specialty retailer’s stock valued at $778,000 after acquiring an additional 1,044 shares during the period. Finally, Spirepoint Private Client LLC grew its stake in shares of Alibaba Group by 29.6% in the fourth quarter. Spirepoint Private Client LLC now owns 2,174 shares of the specialty retailer’s stock worth $319,000 after acquiring an additional 496 shares during the last quarter. 13.47% of the stock is currently owned by institutional investors.

Alibaba Group Stock Performance

The firm’s 50 day moving average price is $156.23 and its 200-day moving average price is $149.07. The firm has a market cap of $423.67 billion, a price-to-earnings ratio of 24.51, a P/E/G ratio of 3.49 and a beta of 0.37. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.46 and a quick ratio of 1.46.

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.