Wall Street's Expectations for Alibaba's Stock Performance in the Coming Year
Wall Street Analysts Set Positive Outlook for Alibaba Stock
As Alibaba (NYSE: BABA) approaches its Q1 earnings release scheduled for August 15, the stock has shown robust performance, raising investor expectations. Analysts predict earnings will decrease to $2.09 per share from $2.42 in the same quarter last year, but anticipate a 3.7% year-over-year revenue increase to $34.59 billion.
Lazada Achieves Profitability
In a recent internal meeting, CEO James Dong reported that Lazada, Alibaba's subsidiary, has reached profitability. This development highlights Alibaba's ongoing efforts to enhance its international presence amid challenging sales conditions in China.
Analyst Predictions Ahead of Earnings
- Bank of America raised its price target for BABA shares to $106, maintaining a 'buy' rating.
- Jefferies set a target price of $116, supported by favorable customer reviews.
- Citi analyst Alicia Yap retains a target price of $122 with an optimistic view on the earnings report.
General Market Sentiment
On average, Wall Street analysts give Alibaba stock a strong buy rating, reflecting confidence in the company's growth potential.
Conclusion
With the upcoming earnings report on August 15, analysts will reassess Alibaba's fundamentals, influencing price targets for the next year. The overall sentiment remains optimistic, suggesting potential upside for BABA stock.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.