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Alibaba Stock (BABA) Scores a ‘Perfect 10’—Here’s What’s Fueling the Optimism

Alibaba Stock (BABA) Scores a ‘Perfect 10’—Here’s What’s Fueling the Optimism

Alibaba (BABA) has received a “Perfect 10” Smart Score from TipRanks — an AI-powered system that pulls together analyst ratings, insider activity, technical indicators, and fundamental data to rate stocks from 1 to 10. A score of 10 is the highest possible and suggests the stock is likely to outperform the market.

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This top rating comes as Alibaba stock gains momentum, climbing over 46% in the past year, well ahead of the S&P 500’s (SPX) 12% rise. With renewed investor interest in AI and cloud growth, Alibaba remains in focus.

Alibaba Expands Cloud Presence in Southeast Asia

Alibaba Cloud is growing fast across Asia. This week, the company opened its third data center in Malaysia and confirmed plans to launch another in the Philippines by October 2025. These new sites will help serve more customers in the region and deliver faster, low-latency services for both cloud and AI needs.

The company also launched an AI Global Competency Center in Singapore. This new hub aims to support over 5,000 businesses and train 100,000 developers across Southeast Asia. With this, Alibaba is making a clear push to become a major AI and cloud provider outside of China.

AI Products Take Center Stage

Alibaba is also stepping up its investment in artificial intelligence. In April 2025, it released its newest large language model, Qwen 3, which can handle both complex reasoning and high-speed tasks. The model has already seen strong adoption across Alibaba’s own platforms and among external businesses.

In addition, the company announced a major tech investment of $53 billion over the next three years. The spending will focus on AI chips, computing power, and cloud services, one of the largest digital infrastructure pushes in Asia to date.

Management Refocuses on Core Business

Under CEO Eddie Wu, Alibaba is choosing to hold off on spinning off multiple business units. Instead, the company is doubling down on its core strengths—e-commerce, cloud, and AI. This renewed focus is helping rebuild investor confidence as Alibaba aims for more stable and profitable growth.

Is Alibaba Stock a Good Buy Right Now? 

Currently, 13 out of 14 analysts covering the stock rate it a Buy, and the average Alibaba price target of $166 implies double-digit upside of 51% from current levels.

The company has also boosted its share buyback program, signaling confidence in its long-term fundamentals and helping support the stock’s recovery.

See more BABA analyst ratings

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