Alibaba Group (NYSE:BABA) Trading Down 2.9% – Here’s Why

Alibaba Group Holding Limited (NYSE:BABA) shares dropped 2.9% on Friday . The stock traded as low as $82.90 and last traded at $83.12. Approximately 7,384,739 shares traded hands during trading, a decline of 58% from the average daily volume of 17,619,332 shares. The stock had previously closed at $85.58.

Analysts Set New Price Targets

A number of equities analysts have recently commented on BABA shares. Loop Capital restated a “buy” rating and issued a $115.00 price objective on shares of Alibaba Group in a research report on Thursday, August 29th. Mizuho boosted their price target on shares of Alibaba Group from $92.00 to $113.00 and gave the company an “outperform” rating in a research report on Tuesday, November 12th. StockNews.com raised shares of Alibaba Group from a “hold” rating to a “buy” rating in a report on Wednesday. Bank of America boosted their target price on Alibaba Group from $106.00 to $124.00 and gave the stock a “buy” rating in a research report on Wednesday, October 9th. Finally, Robert W. Baird upped their target price on Alibaba Group from $88.00 to $110.00 and gave the stock an “outperform” rating in a research note on Thursday, October 24th. Two research analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $114.07.

Alibaba Group Price Performance

The firm has a market capitalization of $199.05 billion, a P/E ratio of 16.86, a PEG ratio of 0.42 and a beta of 0.35. The company has a quick ratio of 1.41, a current ratio of 1.37 and a debt-to-equity ratio of 0.16. The business’s 50-day simple moving average is $98.42 and its 200 day simple moving average is $85.87.

Alibaba Group (NYSE:BABA) last issued its earnings results on Friday, November 15th. The specialty retailer reported $15.06 EPS for the quarter, topping analysts’ consensus estimates of $1.87 by $13.19. Alibaba Group had a net margin of 8.98% and a return on equity of 12.28%. The company had revenue of $236.50 billion for the quarter, compared to analysts’ expectations of $239.45 billion. During the same quarter last year, the company earned $1.82 EPS. The firm’s revenue was up 5.2% compared to the same quarter last year. Sell-side analysts forecast that Alibaba Group Holding Limited will post 8.51 earnings per share for the current year.

Institutional Investors Weigh In On Alibaba Group

Several institutional investors have recently bought and sold shares of BABA. Generate Investment Management Ltd purchased a new stake in shares of Alibaba Group during the third quarter valued at approximately $12,656,000. SRN Advisors LLC boosted its position in Alibaba Group by 76.7% during the 1st quarter. SRN Advisors LLC now owns 22,259 shares of the specialty retailer’s stock valued at $1,611,000 after buying an additional 9,663 shares during the period. Nations Financial Group Inc. IA ADV grew its holdings in Alibaba Group by 63.9% in the 3rd quarter. Nations Financial Group Inc. IA ADV now owns 28,716 shares of the specialty retailer’s stock worth $3,047,000 after acquiring an additional 11,192 shares during the last quarter. Handelsbanken Fonder AB raised its stake in shares of Alibaba Group by 6.5% during the third quarter. Handelsbanken Fonder AB now owns 822,904 shares of the specialty retailer’s stock valued at $87,327,000 after acquiring an additional 50,000 shares during the last quarter. Finally, United Advisor Group LLC purchased a new stake in shares of Alibaba Group during the third quarter worth about $631,000. 13.47% of the stock is currently owned by hedge funds and other institutional investors.

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.