Alibaba Group Target of Unusually Large Options Trading (NYSE:BABA)

by · The Markets Daily

Alibaba Group Holding Limited (NYSE:BABAGet Free Report) saw unusually large options trading activity on Friday. Investors bought 453,201 call options on the stock. This is an increase of approximately 88% compared to the typical volume of 240,735 call options.

Alibaba Group Stock Performance

Shares of NYSE BABA traded up $2.73 during midday trading on Friday, reaching $85.16. The company’s stock had a trading volume of 21,072,995 shares, compared to its average volume of 12,020,852. The firm has a 50 day moving average price of $86.24 and a 200-day moving average price of $87.59. The stock has a market capitalization of $202.93 billion, a P/E ratio of 17.27, a PEG ratio of 0.40 and a beta of 0.30. Alibaba Group has a 12-month low of $66.63 and a 12-month high of $117.82. The company has a debt-to-equity ratio of 0.16, a current ratio of 1.37 and a quick ratio of 1.37.

Alibaba Group (NYSE:BABAGet Free Report) last posted its quarterly earnings results on Friday, November 15th. The specialty retailer reported $15.06 EPS for the quarter, topping analysts’ consensus estimates of $1.87 by $13.19. Alibaba Group had a net margin of 8.98% and a return on equity of 12.28%. The company had revenue of $236.50 billion for the quarter, compared to analysts’ expectations of $239.45 billion. During the same quarter in the previous year, the firm posted $1.82 EPS. Alibaba Group’s revenue was up 5.2% on a year-over-year basis. As a group, equities analysts predict that Alibaba Group will post 8.44 earnings per share for the current year.

Analyst Upgrades and Downgrades

BABA has been the topic of a number of research reports. Benchmark reiterated a “buy” rating and set a $118.00 target price on shares of Alibaba Group in a research report on Friday, November 15th. Barclays dropped their price objective on shares of Alibaba Group from $137.00 to $130.00 and set an “overweight” rating on the stock in a report on Tuesday, November 19th. Bank of America raised their target price on Alibaba Group from $106.00 to $124.00 and gave the company a “buy” rating in a research note on Wednesday, October 9th. Robert W. Baird upped their price target on Alibaba Group from $88.00 to $110.00 and gave the stock an “outperform” rating in a research note on Thursday, October 24th. Finally, Mizuho raised their price objective on Alibaba Group from $92.00 to $113.00 and gave the company an “outperform” rating in a research note on Tuesday, November 12th. Two research analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $115.13.

Check Out Our Latest Research Report on BABA

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the business. Generate Investment Management Ltd purchased a new position in Alibaba Group during the third quarter valued at approximately $12,656,000. Nations Financial Group Inc. IA ADV raised its stake in shares of Alibaba Group by 63.9% during the third quarter. Nations Financial Group Inc. IA ADV now owns 28,716 shares of the specialty retailer’s stock worth $3,047,000 after acquiring an additional 11,192 shares in the last quarter. Handelsbanken Fonder AB lifted its holdings in shares of Alibaba Group by 6.5% in the 3rd quarter. Handelsbanken Fonder AB now owns 822,904 shares of the specialty retailer’s stock worth $87,327,000 after acquiring an additional 50,000 shares during the last quarter. Massachusetts Financial Services Co. MA raised its position in Alibaba Group by 7,734.1% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 269,805 shares of the specialty retailer’s stock worth $28,632,000 after purchasing an additional 266,361 shares during the period. Finally, Aspex Management HK Ltd bought a new stake in shares of Alibaba Group in the 3rd quarter valued at about $115,995,000. 13.47% of the stock is owned by institutional investors.

About Alibaba Group

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Alibaba Group Holding Limited, through its subsidiaries, provides technology infrastructure and marketing reach to help merchants, brands, retailers, and other businesses to engage with their users and customers in the People's Republic of China and internationally. The company operates through seven segments: China Commerce, International Commerce, Local Consumer Services, Cainiao, Cloud, Digital Media and Entertainment, and Innovation Initiatives and Others.

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