Shares of Alibaba Group Holding (BABA) climbed more than 10% on Monday, marking one of the stock’s strongest single-day gains in months. The rally followed China’s announcement of new steps to speed up the use of digital tools such as artificial intelligence across the economy.
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China’s Industry and Information Technology Minister, Li Lecheng, said that the government will push faster adoption of AI in factories under a new “AI+ Manufacturing” plan. The remarks lifted Chinese tech stocks broadly, with investors viewing Alibaba as a key beneficiary of the policy push.
China Pushes AI and Tech Spending
The government also said it will roll out a new round of financial support in 2026 for smaller high-tech firms, often called “little giants,” and encourage higher spending on research and development.
The goal is to lift tech self-reliance and drive new advances in areas such as AI, cloud systems, and next-gen manufacturing. Officials added that policy efforts will also focus on future tech fields, including quantum tech, robots, brain-computer links, and 6G.
BABA Stock Price Movement
Alibaba shares jumped in Monday’s session but later slipped 0.33% in after-hours trading. Even so, the stock has delivered strong gains overall.
Shares are up about 106% over the past year and have climbed roughly 53% over the past six months, reflecting rising confidence in Alibaba’s cloud business, AI push, and broader tech initiatives.
Is Alibaba Stock a Buy Now?
Wall Street remains constructive on the stock. Alibaba stock carries a Strong Buy consensus rating, based on 13 Buy ratings and one Hold over the past three months. The average BABA price target stands at $203.66, suggesting roughly 22% upside from current levels.
