Alibaba stock: buy or sell?
August 22nd, 2019
Alibaba Group Holding Limited, through its subsidiaries, operates as an online and mobile commerce company in the People's Republic of China and internationally.
Should I buy Alibaba stock?Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Having a trading plan helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
None of our preferred buy setups matches with Alibaba stock situation right now, hence this is not a suitable entry point.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Alibaba stock a buy?
Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we detected 15 ratings published for BABA stock in the last 30 days. The general sentiment of these ratings is bullish for BABA stock, with 13 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-8-5||Jefferies Financial Group||n/a||Buy|
|2019-3-29||Robert W. Baird||Outperform||Outperform|
Alibaba stock analysis
The company founded by Jack Ma dropped a tragic -1.90% and closed at $171.91.
The Chinese e-commerce giant shares dropped -1.90% to $171.91 yesterday. Since last Aug/15 when BABA stock price broke up the SMA200d line, it gained $9.85 (6.08%). Since SMA100d and SMA200d crossed up on April, BABA price slid a -8.04%.
After boosting an amazing 8.87% in a week last week, the Chinese e-commerce giant closed this week at $171.91 and declined a disappointing -1.54%. Late July BABA collapsed a chilling -11.02% in just one week.
Since price and SMA40w lines crossed up last week, BABA climbed $12.79 (8.04%). Since early April when SMA20w and SMA40w crossed up, BABA price slipped $-13.44 per share (-7.25%).
Alibaba stock price history
Alibaba stock went public on September 19th, 2014 with a price of $92.701. Since then, BABA stock grew a 85.40%, with a yearly average of 21.40%. If you had invested $1,000 in Alibaba stock in 2014, it would worth $854.00 today.
1: Adjusted price after possible price splits or reverse-splits.
Alibaba stock historical price chart
BABA stock reached 52-week highs on May at $195.72, and all-time highs 2018-06-05 with a price of 211.7.
Alibaba stock price target is $216.90How much a stock will be priced tomorrow or next week is quite unpredictable However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' BABA stock price predictions in the hope that they will be met as they may be wrong and not met. For the last 30 days we found 14 price predictions for BABA stock:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-8-5||Jefferies Financial Group||Initiates||n/a||$216.00||-|
|2019-8-16||Stifel Nicolaus||Raises Target||$220.00||$225.00||2.3%|
|2019-5-16||Raymond James||Lowers Target||$285.00||$280.00||-1.8%|
|2019-3-29||Robert W. Baird||Raises Target||$178.00||$195.00||9.6%|
|2019-3-26||Morgan Stanley||Set Price Target||n/a||$196.00||-|
|2019-1-31||SunTrust Banks||Raises Target||n/a||$200.00||-|
Financials and fundamental analysis
Earnings date and Earnings per ShareSince May, when Alibaba published its last earnings report, it eased an awful -9.19%. Unfortunately, reported EPS is not yet available in our database.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual sales report draw an outstanding growth of 58.12% to $250,266.00 million USD. When comparing 2018 vs 2017, on the other hand, profit margin (that is, the net income divided by revenues) declined a -1.98% to 25.61%. To have an up to date view of the financial situation of Alibaba, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual Alibaba TTM sales up to were $283,346.00 and income was $61,973.00 million USD. When comparing this TTM figures with the last reported annuality, we can review the e-commerce giant business evolution since March 2018: Annual revenues up to , compared to lastest yearly report, rocketed an extraordinary 13.22%. Regarding profit margin, Alibaba decreased -3.74% to 25.61%
|2013||$5,500 M||-||$1,360 M24.7%||-|
|2014||$8,580 M||56.00%||$3,810 M44.4%||180.15%|
|2015||$76,204 M||788.16%||$24,261 M31.8%||536.77%|
|2016||$101,143 M||32.73%||$71,460 M70.7%||194.55%|
|2017||$158,273 M||56.48%||$43,675 M27.6%||-38.88%|
|2018||$250,266 M||58.12%||$64,093 M25.6%||46.75%|
|TTM||$283,346 M||13.22%||$61,973 M21.9%||-3.31%|
Quarterly financial resultsAlibaba posted million in sales for 2019-Q1, a -100.00% less compared to previous quarter. Reported quarter earnings marked million with a profit margin of . Profit margin remained steady a 0.00% compared to previous quarter when profit margin was 28.24%. When comparing revenues to same quarter last year, Alibaba sales marked a scary loss and plummed a -100.00%.
|2017-Q1||$5,600 M||-||$1,550 M27.7%||-|
|2017-Q2||$7,310 M||30.54%||$2,140 M29.3%||38.06%|
|2017-Q3||$8,285 M||13.33%||$2,655 M32.1%||24.08%|
|2017-Q4||$12,766 M||54.09%||$3,701 M29.0%||39.38%|
|2018-Q1||$61,932 M||385.15%||$7,669 M12.4%||107.20%|
|2018-Q2||$80,920 M||30.66%||$8,720 M10.8%||13.70%|
|2018-Q3||$85,148 M||5.22%||$20,133 M23.6%||130.88%|
|2018-Q4||$117,278 M||37.73%||$33,120 M28.2%||64.51%|
Alibaba ownershipWhen you are planning to invest in a stock, it's always worth to check its ownership structure.
Alibaba shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 48.49% of all shares.
In case of Alibaba stock, 42.09% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for BABA stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to Alibaba:
|Market cap||$447.0 B||$888.4 B||$34.9 B||$302.6 M|
|Total shares||2,600.0 M||492.1 M||871.5 M||14.3 M|
|Float shares||1,500.0 M||436.0 M||790.0 M||28.4 M|
|- Institutional holdings (%)||42.1%||57.1%||88.0%||69.3%|
|- Insider holdings (%)||48.5%||16.1%||5.3%||24.4%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%|
|Thursday, August 22nd, 2019|
|Day range||$170.50 - $174.96|
|Average true range||$5.62|
|50d mov avg||$169.08|
|100d mov avg||$171.58|
|200d mov avg||$166.15|
Alibaba performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. For Alibaba, the comparison is made against Amazon.com, eBay and Overstock.com.
Alibaba competitorsWe chose a few stocks to conform a list of Alibaba competitors to examine if you are interested in investing in BABA:
Latest Alibaba stock news
- InvestorPlaceAlibaba Stock Is Headed Above $200August 2, 2019
- InvestorPlaceFriday’s Vital Data: Charles Schwab, Square and AlibabaAugust 2, 2019
- InvestorPlaceJD.com Has the Potential to Unseat Alibaba as ‘The Amazon of China’August 1, 2019
- InvestorPlaceAlibaba Stock Rally Still Has $15 To GoJuly 31, 2019
- InvestorPlaceIt Doesn’t Look like There’s Much That Can Stop Alibaba StockJuly 30, 2019