Alibaba Group (NYSE:BABA) Trading Down 2.6% – Here’s Why

Alibaba Group Holding Limited (NYSE:BABA) fell 2.6% on Tuesday . The company traded as low as $142.50 and last traded at $143.72. 11,122,880 shares were traded during mid-day trading, a decline of 41% from the average session volume of 18,872,373 shares. The stock had previously closed at $147.57.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on BABA. Benchmark upped their target price on Alibaba Group from $118.00 to $190.00 and gave the stock a “buy” rating in a research note on Friday, February 21st. Morgan Stanley upgraded Alibaba Group from an “equal weight” rating to an “overweight” rating and upped their target price for the stock from $100.00 to $180.00 in a research note on Monday, February 24th. StockNews.com upgraded Alibaba Group from a “hold” rating to a “buy” rating in a research note on Friday, February 21st. JPMorgan Chase & Co. upped their target price on Alibaba Group from $125.00 to $170.00 and gave the stock an “overweight” rating in a research note on Friday, February 21st. Finally, Robert W. Baird upped their price objective on Alibaba Group from $110.00 to $125.00 and gave the stock an “outperform” rating in a report on Wednesday, February 19th. Fifteen research analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Buy” and an average target price of $144.07.

Alibaba Group Price Performance

The firm has a fifty day moving average of $114.33 and a two-hundred day moving average of $100.04. The company has a market capitalization of $340.44 billion, a PE ratio of 20.71, a PEG ratio of 0.61 and a beta of 0.27. The company has a current ratio of 1.48, a quick ratio of 1.48 and a debt-to-equity ratio of 0.19.

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). The business had revenue of $38.38 billion for the quarter, compared to the consensus estimate of $38.19 billion. Alibaba Group had a net margin of 12.29% and a return on equity of 12.89%. Research analysts anticipate that Alibaba Group Holding Limited will post 7.86 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of BABA. Principal Financial Group Inc. lifted its stake in shares of Alibaba Group by 6.2% in the 3rd quarter. Principal Financial Group Inc. now owns 52,563 shares of the specialty retailer’s stock valued at $5,578,000 after purchasing an additional 3,046 shares during the period. Thrivent Financial for Lutherans purchased a new position in Alibaba Group during the third quarter valued at $321,000. Pathstone Holdings LLC grew its position in shares of Alibaba Group by 5.7% in the 3rd quarter. Pathstone Holdings LLC now owns 37,149 shares of the specialty retailer’s stock worth $3,942,000 after buying an additional 1,987 shares during the period. B. Metzler seel. Sohn & Co. Holding AG bought a new position in shares of Alibaba Group in the 3rd quarter worth about $1,107,000. Finally, PNC Financial Services Group Inc. lifted its position in Alibaba Group by 2.0% during the 3rd quarter. PNC Financial Services Group Inc. now owns 42,886 shares of the specialty retailer’s stock valued at $4,551,000 after acquiring an additional 845 shares during the period. Institutional investors 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.