Alibaba Group (NYSE:BABA) Trading Down 1.4% Following Analyst Downgrade

Alibaba Group Holding Limited (NYSE:BABA)’s share price dropped 1.4% during mid-day trading on Tuesday after Arete downgraded the stock from a buy rating to a neutral rating. Arete now has a $172.00 price target on the stock. Alibaba Group traded as low as $154.30 and last traded at $155.9710. Approximately 6,427,233 shares traded hands during trading, a decline of 68% from the average daily volume of 20,239,996 shares. The stock had previously closed at $158.13.

BABA has been the subject of a number of other research reports. Arete Research set a $172.00 target price on shares of Alibaba Group in a research note on Tuesday. Citigroup lifted their price objective on Alibaba Group from $218.00 to $225.00 and gave the company a “buy” rating in a research report on Wednesday, November 26th. Bank of America increased their target price on Alibaba Group from $168.00 to $195.00 and gave the stock a “buy” rating in a report on Wednesday, September 24th. Macquarie restated an “outperform” rating on shares of Alibaba Group in a research note on Tuesday, November 25th. Finally, JPMorgan Chase & Co. decreased their price objective on Alibaba Group from $240.00 to $230.00 and set an “overweight” rating on the stock in a research report on Wednesday, November 26th. Seventeen research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Alibaba Group currently has an average rating of “Moderate Buy” and a consensus target price of $194.00.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Temasek Holdings Private Ltd grew its position in shares of Alibaba Group by 23.4% in the 1st quarter. Temasek Holdings Private Ltd now owns 5,510,348 shares of the specialty retailer’s stock valued at $728,633,000 after buying an additional 1,045,789 shares during the last quarter. American Century Companies Inc. raised its position in shares of Alibaba Group by 52.1% during the first quarter. American Century Companies Inc. now owns 2,293,085 shares of the specialty retailer’s stock worth $303,215,000 after acquiring an additional 785,494 shares during the last quarter. Verde Servicos Internacionais S.A. lifted its stake in shares of Alibaba Group by 6.9% in the second quarter. Verde Servicos Internacionais S.A. now owns 67,773 shares of the specialty retailer’s stock worth $7,686,000 after acquiring an additional 4,373 shares during the period. Causeway Capital Management LLC boosted its holdings in Alibaba Group by 42.6% in the first quarter. Causeway Capital Management LLC now owns 1,356,010 shares of the specialty retailer’s stock valued at $179,305,000 after acquiring an additional 404,842 shares during the last quarter. Finally, Ninety One UK Ltd acquired a new stake in Alibaba Group during the 2nd quarter valued at approximately $15,318,000. Institutional investors and hedge funds own 13.47% of the company’s stock.

Alibaba Group Price Performance

The company has a current ratio of 1.46, a quick ratio of 1.46 and a debt-to-equity ratio of 0.23. The business’s 50-day simple moving average is $165.90 and its two-hundred day simple moving average is $140.80. The firm has a market cap of $379.10 billion, a price-to-earnings ratio of 21.94, a P/E/G ratio of 2.39 and a beta of 0.33.

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.