Alibaba Group Holding Ltd ADR (NYSE: BABA)’s stock price has dropped by -2.85 in relation to previous closing price of 117.18. Nevertheless, the company has seen a loss of -6.29% in its stock price over the last five trading days. seekingalpha.com reported 2025-06-01 that BABA remains inherently undervalued, given its well diversified strengths in e-commerce, logistics, and cloud, despite the macro and geopolitical headwinds. Recent earnings highlight robust domestic e-commerce growth, surging cloud AI revenues, and strong international expansion, supporting its long-term upside potential. BABA’s rich balance sheet and ongoing share buybacks provide a much needed margin of safety and shareholder value, with the aggressive AI investments eventually being top-line accretive.
Is It Worth Investing in Alibaba Group Holding Ltd ADR (NYSE: BABA) Right Now?
Alibaba Group Holding Ltd ADR (NYSE: BABA) has a higher price-to-earnings ratio of 15.28x compared to its average ratio. BABA has 36-month beta value of 0.22. Analysts have mixed views on the stock, with 30 analysts rating it as a “buy,” 8 as “overweight,” 2 as “hold,” and 0 as “sell.”
The public float for BABA is 2.39B, and currently, short sellers hold a 1.68% ratio of that float. The average trading volume of BABA on June 02, 2025 was 22.03M shares.
BABA’s Market Performance
BABA’s stock has seen a -6.29% decrease for the week, with a -4.68% drop in the past month and a -14.09% fall in the past quarter. The volatility ratio for the week is 1.46%, and the volatility levels for the past 30 days are at 2.86% for Alibaba Group Holding Ltd ADR. The simple moving average for the past 20 days is -8.24% for BABA’s stock, with a 8.91% simple moving average for the past 200 days.
Analysts’ Opinion of BABA
Morgan Stanley gave a rating of “Overweight” to BABA, setting the target price at $180 in the report published on February 24th of the current year.
BABA Trading at -6.49% from the 50-Day Moving Average
After a stumble in the market that brought BABA to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -23.30% of loss for the given period.
Volatility was left at 2.86%, however, over the last 30 days, the volatility rate increased by 1.46%, as shares sank -5.55% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -20.50% lower at present.
During the last 5 trading sessions, BABA fell by -6.29%, which changed the moving average for the period of 200-days by +40.70% in comparison to the 20-day moving average, which settled at $124.06. In addition, Alibaba Group Holding Ltd ADR saw 34.26% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at BABA starting from John Michael Evans, who proposed sale 1,094,074 shares at the price of $123.46 back on May 16 ’25. After this action, John Michael Evans now owns shares of Alibaba Group Holding Ltd ADR, valued at $135,074,376 using the latest closing price.
Stock Fundamentals for BABA
Current profitability levels for the company are sitting at:
- 0.13 for the present operating margin
- 0.39 for the gross margin
The net margin for Alibaba Group Holding Ltd ADR stands at 0.12. The total capital return value is set at 0.09. Equity return is now at value 13.04, with 7.30 for asset returns.
Based on Alibaba Group Holding Ltd ADR (BABA), the company’s capital structure generated 0.19 points at debt to capital in total, while cash flow to debt ratio is standing at 0.69. The debt to equity ratio resting at 0.23. The interest coverage ratio of the stock is 8.49.
Currently, EBITDA for the company is 164.01 billion with net debt to EBITDA at 0.41. When we switch over and look at the enterprise to sales, we see a ratio of 2.04. The receivables turnover for the company is 5.41for trailing twelve months and the total asset turnover is 0.53. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.55.
Conclusion
To put it simply, Alibaba Group Holding Ltd ADR (BABA) has had a mixed performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
