Morgan Stanley: Raises Alibaba-W target price to HKD 240, more optimistic about Alibaba Cloud
JP Morgan released a research report stating that it has raised the target price for Alibaba-W's Hong Kong stock by 45.5%, from HKD 165 to HKD 240, while also increasing its target price for the US stock from USD 170 to USD 245, with a rating of "Overweight." The bank noted that Alibaba's stock price has outperformed the average level of its peers over the past three months, mainly benefiting from better-than-expected cloud revenue growth in the second quarter of 2025, as well as the management's investment strategy in takeout and fast commerce. After attending Alibaba's Cloud Summit in Hangzhou last week, JP Morgan is more optimistic about Alibaba Cloud due to future revenue growth opportunities under external customers and domestic e-commerce synergies. JP Morgan will raise its cloud revenue forecasts for the company for the fiscal years 2027 and 2028 by 2% and 6%, respectively, mainly due to a more optimistic outlook on the adoption of GenAI and the monetization of Alibaba Cloud. It will also raise the adjusted EBITDA for the China e-commerce group for the fiscal years 2027 and 2028 by 2% and 3%
According to the Zhitong Finance APP, JP Morgan has released a research report stating that it has raised the target price for Alibaba-W (09988) Hong Kong stocks by 45.5%, from HKD 165 to HKD 240, while also increasing its target price for US stocks from USD 170 to USD 245, with a rating of "Overweight."
The bank indicated that Alibaba's stock price has outperformed the industry average over the past three months, mainly benefiting from better-than-expected cloud revenue growth in the second quarter of 2025, as well as the management's investment strategy in takeout and fast commerce. After attending Alibaba's Cloud Summit in Hangzhou last week, JP Morgan is more optimistic about Alibaba Cloud due to future revenue growth opportunities under external customers and domestic e-commerce synergies.
JP Morgan will raise its cloud revenue forecasts for the company for the fiscal years 2027 and 2028 by 2% and 6%, respectively, mainly due to a more optimistic outlook on the adoption of GenAI and the monetization of Alibaba Cloud. It will also increase the adjusted EBITDA for the China e-commerce group for the fiscal years 2027 and 2028 by 2% and 3%
