Morgan Stanley reiterated its Overweight rating and $180 price target for Alibaba, maintaining the stock as a top pick. Analysts cite accelerating momentum from cloud demand and increased AI usage as primary growth drivers. Improving spending trends within the core e-commerce business are also expected to support future revenue. The firm anticipates long-term upside as the company pivots toward AI-driven technology infrastructure.
In contrast, Bank of America recently lowered its price target for Alibaba while keeping a Buy rating. This adjustment reflects changes in client management revenue recognition and rising costs from AI investments. Specifically, the bank noted the expenses associated with scaling products like Tongyi Qianwen.