FY2026 EPS Estimates for Alibaba Group Reduced by Analyst

Alibaba Group Holding Limited (NYSE:BABA) – Research analysts at Erste Group Bank reduced their FY2026 EPS estimates for shares of Alibaba Group in a report issued on Tuesday, March 24th. Erste Group Bank analyst H. Engel now forecasts that the specialty retailer will earn $4.37 per share for the year, down from their prior estimate of $5.23. Erste Group Bank has a “Hold” rating on the stock. The consensus estimate for Alibaba Group’s current full-year earnings is $7.86 per share. Erste Group Bank also issued estimates for Alibaba Group’s FY2027 earnings at $6.59 EPS.

Several other equities research analysts also recently issued reports on the stock. Wall Street Zen downgraded shares of Alibaba Group from a “hold” rating to a “sell” rating in a research note on Friday, November 28th. Arete Research upgraded Alibaba Group from a “neutral” rating to a “buy” rating and set a $190.00 target price for the company in a research note on Wednesday, January 21st. Freedom Capital lowered Alibaba Group from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, January 6th. Weiss Ratings cut Alibaba Group from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, February 27th. Finally, Barclays reduced their price target on Alibaba Group from $195.00 to $190.00 and set an “overweight” rating for the company in a report on Friday, March 20th. Sixteen investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $187.89.

Alibaba Group Stock Performance

Alibaba Group stock opened at $122.71 on Friday. The firm has a market capitalization of $292.96 billion, a PE ratio of 23.15, a price-to-earnings-growth ratio of 3.18 and a beta of 0.43. Alibaba Group has a one year low of $95.73 and a one year high of $192.67. The stock’s 50 day moving average price is $149.79 and its 200 day moving average price is $157.95. The company has a debt-to-equity ratio of 0.22, a quick ratio of 1.33 and a current ratio of 1.33.

Institutional Investors Weigh In On Alibaba Group

Institutional investors have recently made changes to their positions in the company. Galaxy Group Investments LLC bought a new stake in shares of Alibaba Group during the 4th quarter valued at about $15,413,000. Purpose Unlimited Inc. bought a new position in Alibaba Group in the fourth quarter worth about $3,104,000. World Investment Advisors boosted its stake in Alibaba Group by 5.9% in the fourth quarter. World Investment Advisors now owns 10,799 shares of the specialty retailer’s stock valued at $1,583,000 after acquiring an additional 606 shares during the period. PeakShares LLC bought a new position in shares of Alibaba Group during the fourth quarter valued at approximately $220,000. Finally, Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new position in shares of Alibaba Group during the fourth quarter valued at approximately $903,000. 13.47% of the stock is currently owned by institutional investors.

Trending Headlines about Alibaba Group

Here are the key news stories impacting Alibaba Group this week:

• Positive Sentiment: Sources say Alibaba plans to place orders for Huawei’s new AI chip after successful testing, which could lower costs, deepen Alibaba’s domestic AI stack and reduce dependence on foreign chips. Exclusive: Huawei’s new AI chip find favour with ByteDance, Alibaba which plan to place orders, sources say
• Positive Sentiment: Analyst support: Argus recently upgraded BABA (leading to a short-term uptick), reflecting some analyst conviction in the stock despite near-term headwinds. Alibaba Group (NYSE:BABA) Upgraded at Argus
• Positive Sentiment: Zacks moved BABA from “strong sell” to “hold,” reducing immediate sell-side pressure and signaling improved sentiment from that broker. Zacks Research upgrade
• Positive Sentiment: Product/AI progress: Alibaba is rolling out “Accio,” an agentic AI for automating supply-chain tasks for SMBs — a sign management is pushing AI-driven revenue opportunities. BABA’s Accio Pushes AI From Chat to Execution
• Neutral Sentiment: Price-target dynamics: Susquehanna cut its price target to $170 (citing heavy AI spending) but kept a positive stance — mixed signal: upside remains but margin risks persist. Price target lowered to $170
• Neutral Sentiment: Valuation context: Recent analyses highlight Alibaba’s AI/cloud push and regulatory changes (e.g., delivery rules) as offsetting factors to heavy investment-driven margin pressure — longer-term story still depends on cloud/AI execution. Assessing Alibaba Group Holding valuation after China’s delivery rules and new AI chip and cloud push
• Negative Sentiment: Analyst estimate cuts: Erste Group reduced FY2026 and FY2027 EPS forecasts materially, signaling weaker near-term profit expectations and adding downward pressure on sentiment. MarketBeat: Analyst estimate changes
• Negative Sentiment: Zacks added BABA to its Rank #5 (Strong Sell) list — a headline that can trigger short-term selling and amplify volatility despite other upgrades. New Strong Sell Stocks for March 27th
• Negative Sentiment: Profit pressure: Coverage and headlines note heavy AI spending has driven a steep profit decline and prompted price-target cuts — this underpins the negative near-term earnings narrative. Alibaba Price Target Slashed to $170 as Heavy AI Spending Drags Profits Down 67%

About Alibaba Group

Alibaba Group Holding Limited is a Chinese multinational conglomerate founded in 1999 in Hangzhou, China, by Jack Ma and a group of co‑founders. The company built its business around internet-based commerce and related services and has grown into one of the largest e-commerce and technology companies in the world. Alibaba completed a high‑profile initial public offering on the New York Stock Exchange in 2014.

The company operates a portfolio of online marketplaces and platforms serving different customer segments: Alibaba.com for global and domestic B2B trade, Taobao for consumer-to-consumer shopping, and Tmall for brand and retailer storefronts targeted at Chinese consumers.