Understanding the Market | Alibaba-W is currently up over 5%. Alibaba CEO Eddie Wu advocates for full AI implementation. UBS states it still has value potential

Zhitong
2025.03.18 06:40
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Alibaba-W is currently up over 5%, with a rise of 5.31% as of the time of writing, priced at HKD 142.7, with a transaction volume of HKD 15.385 billion. In terms of news, it has been reported that Alibaba Cloud has internally launched the "T Project," preparing for exploration in next-generation AI technologies, AI engines, LLM, multimodal fields, etc. Sources close to Alibaba Cloud revealed that the T Project aims to accelerate AI research and development. Additionally, Alibaba CEO Eddie Wu advocates for the comprehensive implementation of "AI" in Alibaba's existing businesses. Insiders stated that the company is also developing a series of AI-native applications, some of which may be launched this year. UBS released a research report stating that Alibaba's management revealed during a non-deal roadshow that due to reduced inference costs and declining demand for chips, AI is now considered more cost-effective, bringing growth opportunities for the digital development of Chinese enterprises and SMEs. It is expected that in the short term, the business focus will be more on the enterprise side (To B), and there are also long-term profit opportunities for AI Agents. UBS believes that although the stock price has risen significantly this year, it still sees value potential in Alibaba, reiterating a "Buy" rating and raising the target price from HKD 154 to HKD 172

According to Zhitong Finance APP, Alibaba-W (09988) is currently up over 5%, with a rise of 5.31% as of the time of writing, priced at HKD 142.7, with a transaction volume of HKD 15.385 billion.

In terms of news, it has been reported that Alibaba Cloud has launched the "T Project" internally, preparing for exploration in next-generation AI technology, AI engines, LLM, multimodal fields, and sources close to Alibaba Cloud revealed that the T Project aims to accelerate AI research and development. Additionally, Alibaba CEO Eddie Wu advocates for the comprehensive implementation of "AI" in Alibaba's existing businesses. Insiders stated that the company is also developing a series of AI-native applications, some of which may be launched this year.

UBS released a research report stating that Alibaba's management revealed during a non-deal roadshow that due to reduced inference costs and declining demand for chips, AI is now considered more cost-effective, bringing growth opportunities for the digital development of Chinese enterprises and small and medium-sized enterprises. It is expected that the business focus will shift more towards the enterprise side (To B) in the short term, and there are also long-term profit opportunities for AI Agents. UBS believes that although the stock price has risen significantly this year, it still sees value potential in Alibaba, reiterating a "Buy" rating and raising the target price from HKD 154 to HKD 172

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