In April, Goldman Sachs analyst Ronald Keung reiterated a Buy rating on Alibaba with a price target of $136, as it continues to view the stock as “one of the best value stock proxies” that is poised to experience advertising recovery and fintech (through its 33% stake in Ant) as well as cloud structural growth. What is the Price Target for Alibaba Stock? In late April, a group of nine Republican senators urged the Biden administration to impose sanctions on Huawei’s cloud unit, Alibaba Cloud, and other Chinese cloud service providers, as they could pose a threat to national security. However, BABA American depositary receipt (ADR) has declined more than 15% over the past one month due to increasing U.S.-China friction. ![]() ![]() Alibaba Cloud is slashing the prices of its core products and services in China by up to 50% to boost demand and fight competition. The company is also taking various initiatives to boost its business. The decision is also seen as a strategy to ease the scrutiny over the tech giant’s massive business, which has often invited regulators’ wrath due to alleged monopolistic practices and other issues. Alibaba feels that the restructuring will make its businesses more agile and enhance decision-making. It intends to break up into six units, including cloud computing, media, and e-commerce, with the possibility of each business exploring fundraising and an initial public offering. In March, the news of e-commerce giant Alibaba’s plan to split into six business units was welcomed by investors. We used TipRanks Stock Comparison Tool, to place Alibaba ( NYSE:BABA), JD.com ( NASDAQ:JD), and Li Auto ( NASDAQ:LI) against each other to find the most compelling Chinese stock as per Wall Street analysts. Nevertheless, Wall Street analysts remain bullish on the long-term prospects of many U.S.-listed Chinese stocks. Aside from geopolitical tensions, regulatory pressures and the unexpected decline in China’s manufacturing activity in April have also impacted investor sentiment. The growing U.S.-China tensions remain an overhang on U.S.-listed stocks of Chinese companies.
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