Citi raises Alibaba Group stock target to USD 193.00
π Citi raised its price target for Alibaba Group from USD 190.00 to USD 193.00 while maintaining a Buy rating.
π° Fiscal first-quarter revenue reached CNY 268.95 billion, representing an 8.59% year-over-year increase.
π Net income declined sharply to CNY 10.44 billion due to a CNY 4.46 billion goodwill impairment charge.
βοΈ AI Cloud and Compute Services revenue surged 44.94% to CNY 48.44 billion, driving adjusted EBITA up 133.03%.
π Analyst Jefferies raised its target to USD 192.00 and forecast cloud revenue growth above 50% for fiscal year 2028.
πΉ The stock traded at EUR 97.30 on October 9, 2026, up 3.13% versus the prior close.
π’ Alibaba's market capitalization was valued at USD 263.0 billion as of October 9, 2026.
Bullish Signals
- Citi raised its price target from USD 190.00 to USD 193.00 while maintaining a Buy rating on Alibaba Group.
- Fiscal first-quarter revenue grew 8.59% year over year to reach CNY 268.95 billion.
- AI Cloud and Compute Services revenue expanded rapidly by 44.94% to CNY 48.44 billion in the quarter.
- Adjusted EBITA for cloud services increased dramatically by 133.03% to CNY 5.63 billion.
- Analyst Jefferies raised its price target to USD 192.00 and forecast cloud revenue growth above 50% for fiscal year 2028.
Risk Factors
- Net income dropped significantly to CNY 10.44 billion, down 75.35% from the prior year.
Full Analysis
Citi raised its price target for Alibaba Group (BABA) from USD 190.00 to USD 193.00 on October 8, 2026, maintaining a Buy rating. This adjustment follows the company's fiscal first-quarter results, which showed consolidated revenue reaching CNY 268.95 billion, an 8.59% year-over-year increase. The stock was trading at EUR 97.30 on October 9, 2026, reflecting a 3.13% gain against the prior close.
Despite the revenue growth, Alibaba reported a significant decline in net income, which fell to CNY 10.44 billion from CNY 42.38 billion in the same period a year earlier. This drop was partly attributed to a CNY 4.46 billion goodwill impairment charge recorded during the quarter. However, the company's cloud segment demonstrated robust expansion, with AI Cloud and Compute Services revenue surging 44.94% to CNY 48.44 billion.
Analyst Jefferies also contributed to the bullish sentiment by raising its target to USD 192.00 and forecasting cloud revenue growth exceeding 50% for fiscal year 2028. Alibaba's market capitalization stood at USD 263.0 billion as of October 9, 2026, with the stock trading above its 52-week low but below the previous high of USD 182.50.