Alibaba ( (BABA) ) has been popular among investors this week. Here is a recap of the key news on this stock.
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Alibaba is making strategic moves to strengthen its position in the global tech landscape. The company is raising approximately $1.53 billion through zero-interest exchangeable bonds, allowing investors to convert these bonds into shares of Alibaba Health, a subsidiary in which Alibaba holds a significant stake. This fundraising approach helps Alibaba expand its cloud services, invest in artificial intelligence, and grow its presence in international markets like Thailand, Mexico, and South Korea without adding debt pressure. This is Alibaba’s second major fundraising effort in less than a year, following a $5 billion bond deal in November 2024.
The company is also making significant strides in its cloud and AI sectors. Alibaba Cloud recently opened its third data center in Malaysia and plans to launch another in the Philippines by October 2025. Additionally, the company has launched an AI Global Competency Center in Singapore to support businesses and train developers across Southeast Asia. Analysts are optimistic about Alibaba’s stock, with a strong buy consensus and a projected 51% upside potential. The company’s stock has risen over 46% in the past year, outpacing the S&P 500, and it has received a ‘Perfect 10’ Smart Score from TipRanks, indicating strong market performance expectations.