Axiom Pounds the Table on Alibaba Group Holding Ltd
Axiom analyst Victor Anthony was out pounding the table on Alibaba Group Holding Ltd (NYSE:BABA) Friday, reiterating a Buy rating and price target of $110, which represents a potential upside of 25% from where the stock is currently trading.
Anthony noted, “We are maintaining our Buy rating and $110 price target on the shares of Alibaba following FY4Q15 results. The quarter was solid with stable monetization rates, and overall improvements from here looking sustainable as mobile GMV becomes a majority of the mix. We see upside for the shares as Alibaba overcomes recent headline challenges. Our checks with Chinese e-commerce executives suggest that Alibaba is likely to overcome these recent woes. The risk-reward to owning the shares at these levels is in investors’ favor with expected upside of 45% in our bull-case model versus downside of 14% in our bear-case model.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Victor Anthony has a total average return of 16.8% and a 65.7% success rate. Anthony has a -8.3% average return when recommending BABA, and is ranked #82 out of 3596 analysts.