Alibaba (BABA) Increases Despite Market Slip: Here's What You Need to Know

The latest trading session saw Alibaba (BABA) ending at $126.57, denoting a +0.64% adjustment from its last day's close. This move outpaced the S&P 500's daily loss of 0.64%. On the other hand, the Dow registered a loss of 0.24%, and the technology-centric Nasdaq decreased by 0.74%.Coming into today, shares of the online retailer had gained 7.91% in the past month. In that same time, the Retail-Wholesale sector gained 0.16%, while the S&P 500 gained 0.38%.The investment community will be closely monitoring the performance of Alibaba in its forthcoming earnings report. The company is scheduled to release its earnings on May 15, 2025. The company's upcoming EPS is projected at $1.48, signifying a 5.71% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $33.08 billion, indicating a 7.64% growth compared to the corresponding quarter of the prior year.Investors should also note any recent changes to analyst estimates for Alibaba. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.2% higher within the past month. At present, Alibaba boasts a Zacks Rank of #2 (Buy).From a valuation perspective, Alibaba is currently exchanging hands at a Forward P/E ratio of 11.48. This expresses a discount compared to the average Forward P/E of 23.5 of its industry.It is also worth noting that BABA currently has a PEG ratio of 0.38. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Internet - Commerce industry had an average PEG ratio of 1.47.The Internet - Commerce industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 88, this industry ranks in the top 36% of all industries, numbering over 250.The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Alibaba Group Holding Limited (BABA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks