Alibaba Group (NYSE:BABA) Trading 6.7% Higher – Should You Buy?

Alibaba Group Holding Limited (NYSE:BABA) shares shot up 6.7% during trading on Wednesday . The company traded as high as $138.67 and last traded at $138.52. 14,498,688 shares changed hands during trading, a decline of 21% from the average session volume of 18,393,104 shares. The stock had previously closed at $129.85.

Wall Street Analysts Forecast Growth

BABA has been the subject of a number of research analyst reports. Morgan Stanley raised Alibaba Group from an “equal weight” rating to an “overweight” rating and raised their price target for the stock from $100.00 to $180.00 in a research note on Monday, February 24th. Bank of America boosted their target price on shares of Alibaba Group from $117.00 to $150.00 and gave the company a “buy” rating in a research note on Friday, February 21st. Mizuho raised their target price on shares of Alibaba Group from $92.00 to $113.00 and gave the stock an “outperform” rating in a research report on Tuesday, November 12th. Benchmark increased their price target on Alibaba Group from $118.00 to $190.00 and gave the stock a “buy” rating in a research report on Friday, February 21st. Finally, Barclays lifted their price objective on Alibaba Group from $130.00 to $180.00 and gave the company an “overweight” rating in a report on Friday, February 21st. Fifteen analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, Alibaba Group has an average rating of “Buy” and a consensus price target of $144.07.

Alibaba Group Stock Performance

The firm has a fifty day moving average price of $104.35 and a 200 day moving average price of $96.30. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.48 and a current ratio of 1.48. The stock has a market cap of $334.04 billion, a PE ratio of 20.32, a price-to-earnings-growth ratio of 0.61 and a beta of 0.31.

Alibaba Group (NYSE:BABA) last released its quarterly earnings results on Thursday, February 20th. The specialty retailer reported $2.77 EPS for the quarter, missing analysts’ consensus estimates of $2.84 by ($0.07). Alibaba Group had a net margin of 12.29% and a return on equity of 12.89%. The business had revenue of $38.38 billion during the quarter, compared to analysts’ expectations of $38.19 billion. Research analysts forecast that Alibaba Group Holding Limited will post 7.86 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. QRG Capital Management Inc. lifted its position in Alibaba Group by 4.4% during the 3rd quarter. QRG Capital Management Inc. now owns 37,324 shares of the specialty retailer’s stock worth $3,961,000 after acquiring an additional 1,589 shares during the period. Beacon Financial Advisory LLC lifted its holdings in shares of Alibaba Group by 10.5% during the third quarter. Beacon Financial Advisory LLC now owns 5,157 shares of the specialty retailer’s stock worth $547,000 after purchasing an additional 490 shares during the period. Concurrent Investment Advisors LLC boosted its position in Alibaba Group by 4.6% in the third quarter. Concurrent Investment Advisors LLC now owns 8,019 shares of the specialty retailer’s stock valued at $851,000 after buying an additional 354 shares during the last quarter. M&G PLC increased its holdings in Alibaba Group by 1.8% in the 3rd quarter. M&G PLC now owns 520,057 shares of the specialty retailer’s stock worth $55,126,000 after buying an additional 9,026 shares during the period. Finally, D.B. Root & Company LLC purchased a new position in Alibaba Group during the 3rd quarter worth approximately $225,000. Institutional investors and hedge funds own 13.47% of the company’s stock.

About Alibaba Group

Alibaba Group Holding Limited, through its subsidiaries, provides technology infrastructure and marketing reach to help merchants, brands, retailers, and other businesses to engage with their users and customers in the People's Republic of China and internationally. The company operates through seven segments: China Commerce, International Commerce, Local Consumer Services, Cainiao, Cloud, Digital Media and Entertainment, and Innovation Initiatives and Others.