U.S. markets closed
  • S&P 500

    4,070.56
    +10.13 (+0.25%)
     
  • Dow 30

    33,978.08
    +28.67 (+0.08%)
     
  • Nasdaq

    11,621.71
    +109.30 (+0.95%)
     
  • Russell 2000

    1,911.46
    +8.39 (+0.44%)
     
  • Crude Oil

    79.38
    -1.63 (-2.01%)
     
  • Gold

    1,927.60
    -2.40 (-0.12%)
     
  • Silver

    23.73
    -0.30 (-1.23%)
     
  • EUR/USD

    1.0874
    -0.0018 (-0.16%)
     
  • 10-Yr Bond

    3.5180
    +0.0250 (+0.72%)
     
  • GBP/USD

    1.2395
    -0.0012 (-0.10%)
     
  • USD/JPY

    129.8000
    -0.3530 (-0.27%)
     
  • BTC-USD

    23,169.15
    +71.22 (+0.31%)
     
  • CMC Crypto 200

    526.66
    +9.65 (+1.87%)
     
  • FTSE 100

    7,765.15
    +4.04 (+0.05%)
     
  • Nikkei 225

    27,382.56
    +19.81 (+0.07%)
     

Truist Securities Lifts Alibaba’s PT Ahead Of 1Q Results This Week

Truist Securities increased Alibaba’s price target to $242 (5.8% downside potential) from $240 and reiterated a Buy rating ahead of the online retailer’s 1Q results on Aug. 20.

Truist Securities analyst Youssef Squali points to Alibaba's (BABA) growth prospects given the recovery in online sales in China. Squali said that the latest data released by the China Stats Bureau indicates e-commerce sales growth is approaching its pre-coronavirus level. The analyst believes that Alibaba will be a “long term winner” given its dominance in the Chinese online retail market, cloud leadership, and strong balance sheet.

Despite business disruptions caused by the COVID-19 pandemic, Alibaba reported strong 4Q results on May 22. The company’s 4Q revenues increased 22% to $16.1 billion year-on-year and surpassed analysts’ expectations of $15.3 billion. Its earnings per ADS grew 7% to $1.30 year-over-year and beat Street estimates of $0.88.

Currently, the Street has a bullish outlook on the stock. The Strong Buy analyst consensus is based on 19 Buys and 1 Hold. The average price target of $277.95 implies upside potential of about 8.2%. (See BABA stock analysis on TipRanks).

Related News:
Alibaba’s Ant Group Starts Filing Process For Blockbuster China IPO
Rising E-commerce Trends Point to Alibaba’s Continued Success, Says 5-Star Analyst
Starbucks Expands China Order Services To Four Alibaba Apps

More recent articles from Smarter Analyst: