Added to YB: 2026-04-27
Pitch date: 2026-04-23
BABA [bullish]
Alibaba Group Holding Limited
+2.89%
current return
Author Info
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Company Info
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.
Market Cap
$2.1T
Pitch Price
$128.10
Price Target
185.00 (+40%)
Dividend
0.77%
EV/EBITDA
13.75
P/E
24.10
EV/Sales
2.07
Sector
Broadline Retail
Category
growth
Alibaba Group (BABA) Executive Summary: The Old BABA is dying. The new one looks like an AI utility giant.
BABA: Trades 24-25x P/E but justifies software-style 30x+ multiple as AI utility vs legacy retailer. Cloud rev +34-36% YoY at 36% China share, driving path to $185 PT (+36% upside). In investment trough: RMB 380B/$52B 3yr AI/Quick Commerce spend crushing margins (EBITDA -57%, FCF -71% to 0.72x conversion). 88VIP 59M members lock top 10% spenders. Hidden Ant 33% stake worth $15-20/ADS at $150B+ IPO. Risks: tariffs, delisting, Quick Commerce losses. Catalysts: cloud margins 9%→12%, Qwen 4.0 H2, $19B buyback through 2027.
Read full article (18 min)