We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Alibaba (BABA) Suffers a Larger Drop Than the General Market: Key Insights
Read MoreHide Full Article
Alibaba (BABA - Free Report) ended the recent trading session at $71.46, demonstrating a -0.93% swing from the preceding day's closing price. This change lagged the S&P 500's 0.31% loss on the day. Meanwhile, the Dow experienced a drop of 0.41%, and the technology-dominated Nasdaq saw a decrease of 0.27%.
The online retailer's shares have seen a decrease of 5.04% over the last month, not keeping up with the Retail-Wholesale sector's gain of 2.43% and the S&P 500's gain of 3.05%.
Analysts and investors alike will be keeping a close eye on the performance of Alibaba in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $1.56, marking stability compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $31.19 billion, indicating a 2.89% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $8.86 per share and revenue of $131.88 billion, which would represent changes of +11.59% and +4.62%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Alibaba. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. At present, Alibaba boasts a Zacks Rank of #3 (Hold).
Looking at valuation, Alibaba is presently trading at a Forward P/E ratio of 8.14. This represents a discount compared to its industry's average Forward P/E of 20.11.
The Internet - Commerce industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 88, placing it within the top 35% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Alibaba (BABA) Suffers a Larger Drop Than the General Market: Key Insights
Alibaba (BABA - Free Report) ended the recent trading session at $71.46, demonstrating a -0.93% swing from the preceding day's closing price. This change lagged the S&P 500's 0.31% loss on the day. Meanwhile, the Dow experienced a drop of 0.41%, and the technology-dominated Nasdaq saw a decrease of 0.27%.
The online retailer's shares have seen a decrease of 5.04% over the last month, not keeping up with the Retail-Wholesale sector's gain of 2.43% and the S&P 500's gain of 3.05%.
Analysts and investors alike will be keeping a close eye on the performance of Alibaba in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $1.56, marking stability compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $31.19 billion, indicating a 2.89% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $8.86 per share and revenue of $131.88 billion, which would represent changes of +11.59% and +4.62%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Alibaba. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. At present, Alibaba boasts a Zacks Rank of #3 (Hold).
Looking at valuation, Alibaba is presently trading at a Forward P/E ratio of 8.14. This represents a discount compared to its industry's average Forward P/E of 20.11.
The Internet - Commerce industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 88, placing it within the top 35% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.