Alibaba Group is one of the leading e-commerce websites in China, that deals with a wide variety of items at economical rates. Apart from this, it also deals with solutions providing for B2B, B2C, and C2C categories, cloud computing, online payment, and electronic payment portal. Since its inception in 1999, it has now grown its presence on the global scale and offers services beyond the boundaries of China. For the year 2020, it owns the titles of one of the largest internet companies and the 5th largest AI company.
The upcoming content discusses in detail about BABA stock price.
Key performance indices
The following are the key performance indices (KPIs) that need to be taken note of before commenting on the stock performance:
- Market opening- USD 260.42
- Market closing- USD 258.31
- Previous day closing- USD 260.84
- Market gain at the close- USD -2.32 or -0.89{a0ee05dfb9f9d212e620b418528a53db7828114988d42a5c24f996a677b8ee8e} (negative growth)
- Pre-market gains for the day- USD +1.19 or +0.46{a0ee05dfb9f9d212e620b418528a53db7828114988d42a5c24f996a677b8ee8e}
- The 52-week range between USD 169.95 to 319.32
- The one-day range between USD 257.03 to 262.57
The key takeaways
Based on these performance metrics, the following is the list of key takeaways to decipher BABA stock price:
- With the COVID-19 vaccine about to hit the doorsteps within the next few months, the current air traffic in the e-commerce segment is expected to see a slowdown because a significant chunk of people would now prefer physical shopping after months of lockdown.
- The fall in the NAV of Alibaba for the past one week is primarily due to the antitrust law raised by China against the monopolistic practices followed within the technology sector. As a result, the Ant IPO that was supposed to raise the prices of Alibaba stock got suspended and it witnessed the highest drop of 4.5{a0ee05dfb9f9d212e620b418528a53db7828114988d42a5c24f996a677b8ee8e} within the past week.
- As good news, the cloud computing sector of the business is aiding in recovering the losses and able to maintain the status as it enjoys today (with many Fortune companies still preferring Alibaba over other service providers).
The recent developments
To boost the stock value, the following have been some of the key improvements or sign-offs done by Alibaba:
- Generation of revenues of USD 74.10 billion from the Global Shopping festival is about 26{a0ee05dfb9f9d212e620b418528a53db7828114988d42a5c24f996a677b8ee8e} higher than the previous year’s revenue.
- Investment in alias with Richemont to promote luxury brands in the website and thus boost the hold over luxury marketing in China.
- MoU with BMW to aid in the digitization of the auto sales and provide the online experience of the brand after the COVID-19 pandemic.
- Strengthening of the cloud computing services within the Asia Pacific to reach a high within Q3 of 2020.
Therefore, all of these improvements point towards the comeback that Alibaba would make for the losses incurred within the past week and even the analysts are suggesting its stocks to be kept on buy mode for the upcoming future. If you want to know more information like cash flow, you can visit https://www.webull.com/cash-flow/nyse-baba.
Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.