Truist Securities Lifts Alibaba’s PT Ahead Of 1Q Results This Week

Market Trading EssentialsAugust 18, 2020

1 minute read

Truist Securities increased Alibaba’s price target to $242 (5.8% downside potential) from $240 and reiterated a Buy rating ahead of the online retailer’s 1Q results on Aug. 20.

Youssef Squali points to Alibaba’s (BABA) growth prospects given the recovery in online sales in China. Squali said that the latest data released by the China Stats Bureau indicates e-commerce sales growth is approaching its pre-coronavirus level. The analyst believes that Alibaba will be a “long term winner” given its dominance in the Chinese online retail market, cloud leadership, and strong balance sheet.” data-reactid=”13″>Truist Securities analyst Youssef Squali points to Alibaba’s (BABA) growth prospects given the recovery in online sales in China. Squali said that the latest data released by the China Stats Bureau indicates e-commerce sales growth is approaching its pre-coronavirus level. The analyst believes that Alibaba will be a “long term winner” given its dominance in the Chinese online retail market, cloud leadership, and strong balance sheet.

Despite business disruptions caused by the COVID-19 pandemic, Alibaba reported strong 4Q results on May 22. The company’s 4Q revenues increased 22% to $16.1 billion year-on-year and surpassed analysts’ expectations of $15.3 billion. Its earnings per ADS grew 7% to $1.30 year-over-year and beat Street estimates of $0.88.

price target of $277.95 implies upside potential of about 8.2%. (See BABA stock analysis on TipRanks).” data-reactid=”19″>Currently, the Street has a bullish outlook on the stock. The Strong Buy analyst consensus is based on 19 Buys and 1 Hold. The average price target of $277.95 implies upside potential of about 8.2%. (See BABA stock analysis on TipRanks).