Alibaba Group Holding
Alibaba Group Holding Ltd. (BABA) is at number 4 in our list of the most popular stocks that emerging market funds (EEM) (VWO) are invested in. The company was among the top 10 holdings of 5 out of 10 funds that were part of our analysis. These are:
Among institutional investors, these are the funds that are invested into the BABA ADR currently:
3Q Revenue up 54%
Alibaba Group Holdings, through its subsidiaries, operates as an online and mobile commerce company in the People’s Republic of China and internationally. It operates
- Taobao Marketplace, an online shopping destination;
- Tmall, a third-party platform for brands and retailers;
- Juhuasuan, a sales and marketing platform for flash sales;
- Alibaba.com, an online wholesale marketplace;
- Alitrip, an online travel booking platform;
- 1688.com, an online wholesale marketplace; and
- AliExpress, a consumer marketplace.
Trading under the ADR ticker BABA on the NYSE, the company has the market capitalization of $251.3 billion. On January 31, 2017, the company reported its EPS as $1.30 for 3Q16 against analyst projections of $1.13; a whopping 17 cents jump. For the third quarter, the company’s revenue increased by 54%. BABA reported a net profit margin of 26.44% and generates 13.29% return on equity (ROE).
Trading at $101.28 a share currently, the stock is already up 15.37% for the year. It has gained 51.14% over the past 1 year. The stock trades at a price-to-earnings ratio of 54.07 and has a beta of 2.68.
Analyst recommendations: BUY
The stock currently has 89.1% BUY recommendations from analysts, against a 10.9% HOLD recommendations. Consensus 12-month target price for the stock stands at $125.14. The stock is currently trading at $101.28 a share. Goldman Sachs is expecting the stock to hit $131, whereas HSBC analysts have a price target of $125 on the stock.