HSI1 25,962.73 -426.31 325.39B
HSCEI1 8,691.03 -167.60 91.91B
Back    Zoom +    Zoom - Block Traded
JPM Raises BABA-W (09988.HK) TP to HKD200, Says Alibaba Cloud Value Yet to Be Fully Priced In
2026-05-15 12:43:55
JP Morgan upgraded its structural 12-month conviction on BABA-W (09988.HK). Alibaba disclosed that for the latest fiscal quarter ended March, external cloud revenue growth accelerated to 40%, while the ARR of MaaS grew from over RMB8 billion and was expected to reach RMB30 billion by year-end.

In addition, guidance for the cloud business EBITA margin will rise from 9% to double digits over the next one to two quarters, solidifying Alibaba Cloud's position as the largest AI and cloud franchise in China. However, the market is still valuing Alibaba as a traditional e-commerce company, implying that the value of its cloud business has yet to be fully priced in.

JPMorgan raised its FY2027 and FY2028 adjusted EPS forecasts for Alibaba by 4% and 3%, respectively, to reflect improved cloud margin prospects. The broker lifted the H-share TP for BABA-W (09988.HK) from HKD195 to HKD200 and hiked the US-share TP for Alibaba Group Holding Limited (BABA.US) from USD200 to USD205, maintaining an Overweight rating on both.
~

AASTOCKS Financial News
Website: www.aastocks.com