Key Takeaways:
- Alibaba's Q4 2024 profit from Ant Group fell by 31% due to strategic growth investments.
- Analysts offer an average price target suggesting a 20.15% upside potential.
- GuruFocus' GF Value estimates indicate a potential downside of 17.78%.
Alibaba's Q4 2024 Financial Overview
Alibaba Group (BABA, Financial) experienced a notable 31% decrease in profit contribution from its affiliate, Ant Group, for the fourth quarter of 2024. This decline amounts to RMB 1.76 billion ($243 million). The reduction highlights Ant Group's strategic decisions to channel resources into growth initiatives, which have made a significant impact, overshadowing the gains achieved from asset valuations.
Analyst Projections and Price Targets
According to the insights of 38 financial analysts, Alibaba Group Holding Ltd (BABA, Financial) is projected to reach an average target price of $161.06 within a year. This projection includes a high estimate of $193.10 and a low of $102.44. The current average target hints at a potential 20.15% increase from the present stock price of $134.05. For more precise estimate details, investors can visit the Alibaba Group Holding Ltd (BABA) Forecast page.
Brokerage Firm Recommendations
The consensus recommendation from 43 brokerage entities suggests that Alibaba Group Holding Ltd (BABA, Financial) maintains an average brokerage rating of 1.7, categorized as "Outperform." This rating scale spans from 1 to 5, where 1 denotes a Strong Buy and 5 signifies a Sell position.
GF Value and Future Stock Assessments
GuruFocus provides its estimated GF Value for Alibaba Group Holding Ltd (BABA, Financial) at $110.22 in the coming year. This estimate suggests a potential downside of 17.78% from the current trading price of $134.05. The GF Value is meticulously calculated by considering the stock's historical trading multiples, its past business growth, and future performance projections. Investors interested in a deeper analysis can explore the Alibaba Group Holding Ltd (BABA) Summary page.
