Citigroup maintains Alibaba Group Holding Ltd. with a Buy rating and lowers the target price to $176 from $177 on the company’s stock.
Based on the Alibaba Group Holding Limited stock forecasts from 18 analysts, the average analyst target price for Alibaba Group Holding Limited is USD 171.31 over the next 12 months. Alibaba Group Holding Limited’s average analyst rating is Strong Buy. Stock Target Advisor’s own stock analysis of Alibaba Group Holding Limited is Neutral, which is based on 4 positive signals and 4 negative signals. At the last closing, Alibaba Group Holding Limited’s stock price was USD 94.48. Alibaba Group Holding Limited’s stock price has changed by +7.74% over the past week, +12.49% over the past month and -55.39% over the last year.
What we like:
High market capitalization
This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.
The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.
Positive cash flow
The company had positive total cash flow in the most recent four quarters.
Positive free cash flow
The company had positive total free cash flow in the most recent four quarters.
What we don’t like:
Poor risk adjusted returns
This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.
Below median dividend returns
The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.
Overpriced compared to earnings
The stock is trading high compared to its peers on a price to earning basis and is above the sector median.
Overpriced on cashflow basis
The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.