Alibaba Group Holding Limited [NYSE: BABA] stock went on an upward path that rose over 1.66% on Friday, amounting to a one-week price decrease of less than -7.01%. The company report on May 13, 2021 that Alibaba Group Announces March Quarter and Full Fiscal Year 2021 Results.
Alibaba Group Holding Limited (NYSE: BABA and HKEX: 9988, “Alibaba” or “Alibaba Group”) announced its financial results for the quarter and fiscal year ended March 31, 2021.
“Alibaba achieved a historic milestone of one billion annual active consumers globally in the fiscal year ended March 2021,” said Daniel Zhang, Chairman and Chief Executive Officer of Alibaba Group. “Our overall business delivered strong growth on a healthy foundation, with the Alibaba Ecosystem generating a record US$1.2 trillion in GMV during this fiscal year. Such achievements were built on top of clear value propositions that we offer to consumers and merchants. We remain very excited about the growth of China’s consumption economy, which is benefiting from the acceleration of digitalization in all aspects of life and work. We will continue to focus on customer experience and value creation through innovation, as we pursue our mission to make it easy to do business anywhere in the digital era.”.
Over the last 12 months, BABA stock rose by 4.08%. The one-year Alibaba Group Holding Limited stock forecast points to a potential upside of 33.45. The average equity rating for BABA stock is currently 1.70, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $558.71 billion, with 2.71 billion shares outstanding and 1.86 billion shares in the current float. Compared to the average trading volume of 16.23M shares, BABA stock reached a trading volume of 31321009 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Alibaba Group Holding Limited [BABA]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for BABA shares is $314.82 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on BABA stock is a recommendation set at 1.70. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Bernstein have made an estimate for Alibaba Group Holding Limited shares, keeping their opinion on the stock as Mkt Perform, with their previous recommendation back on January 25, 2021. While these analysts kept the previous recommendation, Barclays raised their target price from $300 to $320. The new note on the price target was released on August 24, 2020, representing the official price target for Alibaba Group Holding Limited stock. Previously, the target price had yet another raise from $275 to $290, while The Benchmark Company kept a Buy rating on BABA stock.
The Average True Range (ATR) for Alibaba Group Holding Limited is set at 6.25, with the Price to Sales ratio for BABA stock in the period of the last 12 months amounting to 5.02. The Price to Book ratio for the last quarter was 3.90, with the Price to Cash per share for the same quarter was set at 28.10. Price to Free Cash Flow for BABA in the course of the last twelve months was 18.94 with Quick ratio for the last quarter at 1.70.
BABA Stock Performance Analysis:
Alibaba Group Holding Limited [BABA] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -7.01. With this latest performance, BABA shares dropped by -12.37% in over the last four-week period, additionally sinking by -21.13% over the last 6 months – not to mention a rise of 4.08% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for BABA stock in for the last two-week period is set at 30.95, with the RSI for the last a single of trading hit 25.61, and the three-weeks RSI is set at 35.26 for Alibaba Group Holding Limited [BABA]. The present Moving Average for the last 50 days of trading for this stock 230.29, while it was recorded at 215.28 for the last single week of trading, and 258.80 for the last 200 days.
Insight into Alibaba Group Holding Limited Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Alibaba Group Holding Limited [BABA] shares currently have an operating margin of +18.74 and a Gross Margin at +42.67. Alibaba Group Holding Limited’s Net Margin is presently recorded at +29.28.
Return on Total Capital for BABA is now 10.73, given the latest momentum, and Return on Invested Capital for the company is 19.90. Return on Equity for this stock inclined to 23.91, with Return on Assets sitting at 13.07. When it comes to the capital structure of this company, Alibaba Group Holding Limited [BABA] has a Total Debt to Total Equity ratio set at 19.50. Additionally, BABA Total Debt to Total Capital is recorded at 16.32, with Total Debt to Total Assets ending up at 11.22. Long-Term Debt to Equity for the company is recorded at 18.45, with the Long-Term Debt to Total Capital now at 15.44.
Reflecting on the efficiency of the workforce at the company, Alibaba Group Holding Limited [BABA] managed to generate an average of $1,424,061 per employee. Receivables Turnover for the company is 11.92 with a Total Asset Turnover recorded at a value of 0.45.Alibaba Group Holding Limited’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.70 and a Current Ratio set at 1.70.
BABA Stock EPS
With the latest financial reports released by the company, Alibaba Group Holding Limited posted 2.21/share EPS, while the average EPS was predicted by analysts to be reported at 2.06/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 7.30%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for BABA. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Alibaba Group Holding Limited go to 3.69%.
Alibaba Group Holding Limited [BABA] Insider Position Details
There are presently around $198,564 million, or 39.80% of BABA stock, in the hands of institutional investors. The top three institutional holders of BABA stocks are: BLACKROCK INC. with ownership of 83,857,541, which is approximately -4.01% of the company’s market cap and around 10.20% of the total institutional ownership; PRICE T ROWE ASSOCIATES INC /MD/, holding 58,101,878 shares of the stock with an approximate value of $12.17 billion in BABA stocks shares; and STATE STREET CORP, currently with $7.39 billion in BABA stock with ownership of nearly -5.691% of the company’s market capitalization.
Positions in Alibaba Group Holding Limited stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 992 institutional holders increased their position in Alibaba Group Holding Limited [NYSE:BABA] by around 78,818,287 shares. Additionally, 939 investors decreased positions by around 188,753,347 shares, while 193 investors held positions by with 680,180,904 shares. The mentioned changes placed institutional holdings at 947,752,538 shares, according to the latest SEC report filing. BABA stock had 224 new institutional investments in for a total of 14,046,620 shares, while 230 institutional investors sold positions of 27,914,275 shares during the same period.