Should I buy Alibaba stock in 2025?
Is Alibaba stock a buy right now?
As of May 2025, Alibaba Group Holding Ltd. is trading at approximately $125.79 per American Depository Receipt (ADR), with a robust average daily trading volume of 30.37 million shares. Following a period of significant volatility in Chinese equities, Alibaba has outperformed, boasting a 64% gain over the past year and a notable 41% appreciation over six months. Recent quarterly results exceeded expectations, highlighted by 8% year-over-year revenue growth and an impressive 237.5% quarterly earnings jump. CEO Eddie Wu's strategic reorganization—streamlining divisions and strengthening Alibaba’s e-commerce and AI leadership—has drawn constructive attention, especially as the company intensifies cloud and AI hardware investment. Market sentiment, while marked by cautiousness around China’s regulatory climate, has notably improved, driven by Alibaba’s stable operations, clear sector dominance, and a forward-looking approach to international expansion. Within Asia’s rapidly evolving technology sector, Alibaba remains a central, resilient player. Reflecting these strengths, the consensus of more than 35 national and international banks places a 12-month price target at $163.53, acknowledging Alibaba’s strong fundamentals and its increasingly optimistic trajectory.
- Robust revenue growth and profitability, with recent quarter earnings up 237.5% year-on-year.
- Leader in Chinese e-commerce and expanding presence in international markets.
- Strategic investments in AI and cloud infrastructure drive long-term innovation.
- Strong financial stability, with $62.1 billion in cash reserves.
- Bullish technical signals: trading above key moving averages and forming a golden cross.
- Regulatory environment in China remains a source of uncertainty for tech firms.
- Stiff competition from domestic players like JD.com and PDD Holdings could impact growth.
- What is Alibaba?
- How much is Alibaba stock?
- Our full analysis on Alibaba </b>stock
- How to buy Alibaba stock in Singapore?
- Our 7 tips for buying Alibaba stock
- The latest news about Alibaba
- FAQ
Why trust HelloSafe?
At HelloSafe, our specialist has been monitoring Alibaba’s performance for over three years. Each month, tens of thousands of users in Singapore rely on us to analyse market trends and spot the most promising investment opportunities. Our analyses are provided for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never been, and will never be, compensated by Alibaba.
What is Alibaba?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | China | Leading Chinese technology company, exposed to China’s regulatory and macroeconomic risks. |
💼 Market | New York Stock Exchange (NYSE), ticker: BABA | US-listed ADR, highly liquid and accessible to Singapore retail investors. |
🏛️ ISIN code | US01609W1027 | International identification standard suitable for global investors. |
👤 CEO | Eddie Wu | New CEO focused on revitalising core business and AI-driven growth strategies. |
🏢 Market cap | $298.85 billion | Large-cap size supports business diversification and strategic investments. |
📈 Revenue | $38.4 billion (Q3 FY2025) | Revenue grew 8% YoY, highlighting resilience amid a competitive and regulated landscape. |
💹 EBITDA | $7.5 billion (Q3 FY2025) | EBITDA rose 4% YoY, indicating robust core profitability; margin improvements needed. |
📊 P/E Ratio (Price/Earnings) | 18.2 (trailing), 12.3 (forward) | Valuation below sector average; implies possible upside if growth meets expectations. |
How much is Alibaba stock?
The price of Alibaba stock is rising this week. As of now, Alibaba shares trade at $125.79, with a 24-hour gain of $2.56 (+2.08%) and a weekly increase of $5.26 (+4.36%).
Market Cap | $298.85 billion |
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Average Daily Trading Volume (3M) | 30.37 million shares |
Price/Earnings Ratio | 18.22 |
Dividend Yield (Forward Annual) | 1.59% |
Beta | 0.24 |
Although Alibaba’s stock has enjoyed steady gains and strong financials, investors in Singapore may appreciate its stable price movement amid shifting global markets.
Check out the best brokers in Singapore!Compare brokersOur full analysis on Alibaba stock
We have rigorously reviewed Alibaba Group’s latest financial results alongside its stock performance over the past three years, layering in external market data, competitive dynamics, and predictive technical signals. Our proprietary framework integrates multiple sources of analysis—including advanced quantitative indicators and sector-specific qualitative insight—to build a high-conviction investment picture. So, why might Alibaba stock once again become a strategic entry point into the global digital economy and technology sector in 2025?
Recent Performance and Market Context
Over the past year, Alibaba's share price has delivered a remarkable turnaround, with a +64.13% rally, and a current price of $125.79 as of May 9, 2025. This surge is underpinned by a consistent rebound in investor sentiment and robust operational performance. Notably, the stock advanced +41.37% over the past six months and sustained a solid weekly momentum with multiple positive closes, reflecting improving confidence in the group’s trajectory.
Several favorable catalysts have driven this performance:
- Strategic leadership overhaul: The appointment of Joseph Tsai as Chairman and Eddie Wu as CEO—both highly respected within the industry—sent a clear signal to markets regarding a renewed focus on agility, innovation, and execution.
- Corporate reorganization: By breaking down internal silos, Alibaba has renewed its entrepreneurial spirit, paving the way for faster decision-making and sharper strategy delivery.
- Strong recent quarterly results: For Q3 FY2025 (ended December 31, 2024), Alibaba posted revenue of RMB 280.2 billion ($38.4 billion, +8% YoY), with an adjusted EBITDA of RMB 54.9 billion ($7.5 billion, +4% YoY), both metrics exceeding analyst forecasts.
- China’s macro environment: Signals of stabilizing consumer activity, together with supportive policies for digital transformation, support a positive outlook for technology sector bellwethers.
The context stands out as notably supportive compared to past cycles of regulatory uncertainty and volatility. This confluence of market and internal dynamics justifies renewed interest at current levels.
Technical Analysis
From a technical perspective, Alibaba now exhibits classic indicators of a stock in the early stages of a new bullish phase. Several inter-related signals lend support to this favorable appraisal:
- Moving Averages:
- Price is above the 20-day ($117.23), 100-day ($111.94), and 200-day ($101.11) moving averages.
- The 50-day MA ($126.16) is essentially level with the current price, suggesting a consolidation phase where a breakout could ensue.
- A decisive golden cross has been registered as the 50-day MA crossed above the 200-day MA, a robust sign of a potential long-term uptrend.
- Momentum and Oscillators:
- RSI (14-day) of 56.57% shows that Alibaba is neither overbought nor oversold, providing further upside potential without immediate risk of a technical pullback.
- MACD (12,26,9) reads 4.79, pointing to firm bullish momentum.
- The Stochastic %K at 81.60%, while approaching overbought, historically indicates strengthening interest in the stock during market uptrends.
- Support and Resistance:
- The short-term support at $117.23 (20-day MA) and $111.94 (100-day MA) reinforces downside resilience.
- Resistance at the 50-day MA ($126.16) and 52-week high ($148.43) provides clear technical targets for potential breakout traders.
- The pattern of rising lows and the formation of a golden cross confirm a positive structure favorable for new entries.
Importantly, Alibaba’s low 5-year beta (0.24) suggests that positive price movement is driven by company-specific momentum, rather than broad market swings—a unique factor for investors seeking more predictable risk profiles in volatile sectors.
Fundamental Analysis
The fundamental case for Alibaba appears as robust as at any point in recent years, aligning with the current technical setup to reinforce a favorable entry outlook.
- Revenue Growth and Profitability:
- Q3 FY2025 revenue increased by 8% YoY to RMB 280.2 billion, powered by double-digit growth in strategic units like Local Services (+12%) and International Wholesale (+18%).
- Quarterly earnings growth was exceptional, up 237.5%, far surpassing sector averages and underlining operational discipline.
- EBITDA growth of 4% YoY, coupled with a substantial cash position of RMB 453.28 billion ($62.1 billion), underscores Alibaba’s capacity to invest aggressively in innovation while sustaining profitability.
- Valuation:
- The trailing P/E of 18.22 and forward P/E of 12.30 mark Alibaba as significantly undervalued relative to both its historical multiples and peers in the tech sector—especially given a projected annual revenue growth of 7-9%.
- Price/book at 2.16 and price/sales at attractive levels further highlight the compelling risk/reward profile against a backdrop of global technology valuations often exceeding 25x forward earnings.
- The dividend yield of 1.59% adds another layer of attractiveness for income-oriented market participants.
- Strategic Advantages:
- Alibaba maintains a commanding market share in China’s e-commerce segment while expanding internationally through digital commerce and cloud platforms.
- The company’s aggressive capital investments in AI and infrastructure secure its place at the forefront of regional and global technology innovation.
- Strength in brand, diversified business mix, and healthy capital allocation further differentiate Alibaba from domestic and international competitors alike.
This fundamentally solid platform illustrates why, relative to both growth and value benchmarks, Alibaba seems to represent an excellent opportunity for investors looking for multi-year upside in digital transformation.
Volume and Liquidity
Sustained, robust trading volume is a hallmark of renewed institutional and retail interest. With a 3-month average daily volume of 30.37 million shares, liquidity is exceptionally strong, underpinning efficient price discovery and minimized slippage for large and small positions alike.
- Market Confidence:
- High volume is consistent with increasing conviction in continuous operational improvement and management’s ability to execute on strategic pivots.
- Institutional ownership of 14.53%—while not excessive—signals a relatively open float, permitting dynamic valuation adjustments as market sentiment evolves.
- Float Dynamics:
- The ample float and active trading facilitate both trading and longer-term investing strategies with ease.
- No significant insider concentration means price action is predominantly steered by aggregated investor expectations rather than controlling blocks.
Taken together, Alibaba’s liquidity profile is highly favorable to investors seeking both pricing transparency and flexibility when establishing or scaling positions.
Catalysts and Positive Outlook
Multiple secular and company-specific catalysts position Alibaba for outperformance throughout the remainder of 2025 and beyond:
- AI and Cloud Infrastructure: Major investments and accelerated deployment of cutting-edge AI infrastructure underpin Alibaba’s next phase of scalable, high-margin growth.
- Organizational Renewal: The new leadership and structural revamp have unlocked an era of innovation and operational discipline, restoring credibility after regulatory headwinds.
- International Expansion: Strong gains in cross-border and international e-commerce channels position the company to capture surging demand in fast-growing Southeast Asian markets—highly relevant for Singapore-based investors.
- Product Innovation: Frequent roll-outs of value-adding platform services, fintech solutions, and ESG initiatives reinforce user engagement and stakeholder trust.
- Favorable Sector Tailwinds: The broader technology sector rebound, coupled with improving Chinese macro fundamentals and domestic policy supports, create a rising tide for leading digital platforms.
- Market Sentiment Shift: Analyst consensus has turned increasingly positive, with a projected average price target of $163.53—a further 30% upside from current levels.
Each of these factors strengthens the thesis that Alibaba may be entering a new bullish phase, powered by aligned macro drivers and unique internal initiatives.
Investment Strategies
Alibaba, at its current valuation and technical configuration, aligns well with a variety of investment horizons:
- Short-Term Strategies:
- The stock’s recent breakout through support and the momentum flagged by key technicals suggest powerful near-term trading setups for tactical investors.
- Proximity to technical lows and a golden cross pattern often coincide with further price appreciation, as trend followers seek confirmation of bottoming action.
- Medium-Term Positioning:
- Upcoming product launches, cloud and AI expansion, and continued outperformance in quarterly results set up compelling mid-term targets, particularly with resistance at $148.43 and an analyst target of $163.53 providing clear objectives for swing trades or holding periods spanning several months.
- Long-Term Outlook:
- Alibaba's strategic pivot toward international markets, AI, and cloud ensures sustained relevance amid evolving consumer and business trends.
- Attractive forward earnings multiple, best-in-class balance sheet, proactive response to regulatory and competitive dynamics, and proven innovation pipeline build conviction for multi-year compounding of shareholder value.
For investors focused on optimal entry, Alibaba’s current technical structure and underappreciated valuation point to an ideal positioning at the cusp of what could be a sustained upward re-rating.
Is It the Right Time to Buy Alibaba?
Drawing together technical, fundamental, and strategic evidence, Alibaba stands out as one of the best-positioned technology plays in today’s market:
- Key Strengths:
- Market leadership in the world’s largest e-commerce ecosystem
- Expanding, profitable cloud and AI businesses
- Consistently strong financial performance, with double- and triple-digit earnings growth
- Attractive valuation multiples given sector growth and renewed momentum
- Liquidity and trading depth supportive of confident position management
The convergence of bullish technical structure, improving results, dynamic leadership, and sector tailwinds justifies a clearly optimistic outlook. For investors seeking diversified exposure to China’s digital economy and global tech, Alibaba’s shares seem to represent an excellent opportunity as the fundamentals justify renewed interest—and the technicals point toward a possible new bullish phase in 2025. In a landscape defined by transformation and innovation, Alibaba occupies a leading position that warrants serious consideration for any forward-looking investment portfolio.
In sum, Alibaba’s blend of robust growth, decisive leadership, and technical momentum offers a unique opportunity—one that may reward those prepared to act on conviction within the evolving global technology landscape.
How to buy Alibaba stock in Singapore?
Buying Alibaba stock online is a straightforward and secure process for investors in Singapore, as long as you use a regulated broker. There are two main approaches: you can purchase Alibaba shares directly (“spot” or “cash” buying), or trade on their price movements using Contracts for Difference (CFDs), which allow leverage and short selling. Each method suits different investor profiles and goals. If you’re wondering which approach (and which broker) best fits your needs in terms of costs, features and local support, a comprehensive broker comparison is available further down this page.
Spot buying
When you make a “cash purchase” of Alibaba stock, you’re buying real, listed shares (NYSE: BABA) in your investment account, benefiting from any price increases and eligible dividends. Most Singapore brokers charge a fixed commission per transaction, typically ranging from SGD $2 to $10 per trade on US equities. Let’s see a concrete example:
Example
If the Alibaba share price is USD $125.79, with SGD/USD at 1.35, that’s about SGD $170 per share. With a SGD $1,000 investment, you could buy roughly 5 shares (SGD $850), after accounting for a brokerage fee of about SGD $5.
Gain scenario:
If Alibaba’s share price rises by 10% (to about USD $138.37/SGD $187), your holding would be worth SGD $935. Result: +SGD $85 gross gain, or +10% on your initial investment (excluding currency fluctuations and fees).
Trading via CFD
CFD trading (“Contract for Difference”) allows Singapore investors to speculate on Alibaba’s share price without owning the actual shares. CFDs offer leverage, so you can control a larger exposure with a smaller upfront margin. Fees include the bid-ask spread and overnight financing if you keep positions open beyond the trading day.
Suppose you invest SGD $1,000 as margin and use 5x leverage: you now control SGD $5,000 worth of Alibaba stock exposure.
Example
Gain scenario:
If Alibaba’s share price climbs 8%, your position earns 8% × 5 = 40%. That’s a SGD $400 gain on your original SGD $1,000 margin (excluding the effect of spreads and potential overnight charges).
Final advice
Before you decide, it’s important to compare different brokers for their fees, platform features, and quality of support—especially for Singapore residents. Your preferred method will depend on your investment objectives: long-term wealth building (spot buying) versus short-term speculation with leverage (CFDs). For a side-by-side broker comparison and more tips for local investors, check the broker comparison table further down this page.
Check out the best brokers in Singapore!Compare brokersOur 7 tips for buying Alibaba stock
📊 Step | 📝 Specific tip for Alibaba |
---|---|
Analyze the market | Examine Alibaba’s recent financial results and technical indicators, noting its strong revenue growth and bullish price trends, especially after the latest leadership changes and AI investments. |
Choose the right trading platform | Use a MAS-regulated Singapore brokerage that provides seamless access to US-listed stocks like Alibaba on the NYSE, ensuring cost efficiency and robust investor protection. |
Define your investment budget | Set a clear investment amount based on your risk appetite and ensure diversification, as Alibaba’s exposure to regulatory and macroeconomic risks warrants prudent allocation. |
Choose a strategy (short or long term) | Favour a long-term strategy to benefit from Alibaba’s cloud and AI expansion, while allowing time for recovery from market volatility and regulatory challenges. |
Monitor news and financial results | Stay updated with Alibaba’s quarterly earnings, strategic AI initiatives, and any regulatory announcements from China that may affect its international business. |
Use risk management tools | Place stop-loss and trailing-stop orders to manage your downside, and regularly review your position as Alibaba can be influenced by both global and Chinese market events. |
Sell at the right time | Consider partial profit-taking when Alibaba approaches technical resistance levels or following robust quarterly performance, balancing gains with ongoing market outlook. |
The latest news about Alibaba
Alibaba stock climbs over 4% this week, outperforming regional tech peers on bullish sentiment. Over the past seven days, Alibaba’s share price rose by 4.36%, outpacing other major Chinese technology stocks and benefiting from increasing investor optimism about Chinese equities in Singapore and across Southeast Asia. This performance is supported by robust trading volumes and technical indicators showing continued bullish momentum, drawing significant attention from wealth managers and institutional investors in Singapore searching for technology sector alpha during a period of global market uncertainty.
Alibaba’s recent quarterly earnings surpassed analyst expectations, reinforcing Singaporean investor confidence. In its latest quarterly report, Alibaba posted an 8% year-on-year revenue increase and a dramatic 237.5% rise in quarterly earnings growth, exceeding market forecasts. The strong performance particularly in the international commerce segment resonates with Singapore-based investors, many of whom have direct allocations or exposure to Alibaba via regional ETFs, ADRs, or the MSCI China/Singapore indices. The robust results have contributed to an uplift in outlook for China-facing portfolios among local asset managers.
Accelerated AI infrastructure and cloud investments boost Alibaba’s Southeast Asia expansion strategy. Alibaba’s ongoing commitment to cloud and artificial intelligence infrastructure has direct implications for its competitiveness in Singapore, a regional hub for digital innovation and a key market for the company’s cloud and e-commerce offerings. The company’s increased capital expenditure in these areas supports the rapid scaling of services like Alibaba Cloud—already one of the dominant cloud providers in Singapore—which in turn is fostering new strategic partnerships and enterprise solutions locally.
Leadership changes and strategic restructuring signal a renewed growth focus, welcomed by Singapore analysts. The recent appointments of Eddie Wu as CEO and Joseph Tsai as Chairman, combined with an acceleration of strategic reorganization, have been interpreted by Singapore-based market watchers as positive, forward-looking developments. By dismantling internal silos and striving to revive the group’s entrepreneurial culture, Alibaba is positioning itself not only to defend but also to grow its market share in Southeast Asia. The leadership’s vision aligns with Singapore’s emphasis on innovation ecosystems and digital growth, underpinning further cross-border business initiatives.
Technical signals, including a golden cross formation, reinforce positive sentiment among regional traders. Alibaba’s stock price has established itself above key moving averages, forming a bullish golden cross pattern (50-day MA above 200-day MA), which is widely regarded as a signal of potential for sustained upward movement. Technical traders and quant funds active in Singapore’s capital markets are taking note: the confluence of positive momentum, neutral RSI, and continued strong trading activity provides constructive technical context that may support further inflows from the region’s sophisticated investor base.
FAQ
What is the latest dividend for Alibaba stock?
Alibaba stock currently pays a dividend, with a forward annual yield of around 1.59%. The most recent dividend was announced in March 2025, at $0.125 per ADS, payable in April 2025. Historically, Alibaba has not been a high dividend payer, but the recent initiation of dividends signals improved financial strength and a willingness to return capital to shareholders. The company’s dividend policy may evolve as its cash flow grows, particularly with its strong business performance and sizeable cash reserves.
What is the forecast for Alibaba stock in 2025, 2026, and 2027?
Based on the current Alibaba share price of $125.79, the projected prices are $163.53 for end-2025, $188.68 for end-2026, and $251.58 by end-2027. These growth projections are supported by Alibaba’s renewed focus on cloud and AI expansion, as well as strategic reorganization and ongoing international growth efforts. Many analysts view Alibaba's core e-commerce and cloud businesses as strong drivers for sustained momentum in the coming years.
Should I sell my Alibaba shares?
Holding onto Alibaba shares could be a prudent strategy, given its robust fundamentals and resilient business model. The stock is currently trading at attractive valuation levels, with a forward P/E indicating potential for further appreciation. Alibaba’s leadership changes, emphasis on AI and international expansion, and its dominant position in Chinese e-commerce all support mid- to long-term growth prospects. Maintaining exposure may be appropriate for investors seeking growth in technology and digital sectors.
Are dividends or capital gains from Alibaba shares taxable in Singapore?
In Singapore, capital gains from the sale of Alibaba shares are generally not taxable for individual investors, as Singapore does not impose a tax on capital gains. Dividends from Alibaba, being a Chinese company listed on the NYSE, may be subject to US withholding tax before reaching Singapore investors. However, Singapore does not tax foreign-sourced dividends for individuals. Always check for the latest changes in international tax agreements or brokerage fees that might impact your investment.
What is the latest dividend for Alibaba stock?
Alibaba stock currently pays a dividend, with a forward annual yield of around 1.59%. The most recent dividend was announced in March 2025, at $0.125 per ADS, payable in April 2025. Historically, Alibaba has not been a high dividend payer, but the recent initiation of dividends signals improved financial strength and a willingness to return capital to shareholders. The company’s dividend policy may evolve as its cash flow grows, particularly with its strong business performance and sizeable cash reserves.
What is the forecast for Alibaba stock in 2025, 2026, and 2027?
Based on the current Alibaba share price of $125.79, the projected prices are $163.53 for end-2025, $188.68 for end-2026, and $251.58 by end-2027. These growth projections are supported by Alibaba’s renewed focus on cloud and AI expansion, as well as strategic reorganization and ongoing international growth efforts. Many analysts view Alibaba's core e-commerce and cloud businesses as strong drivers for sustained momentum in the coming years.
Should I sell my Alibaba shares?
Holding onto Alibaba shares could be a prudent strategy, given its robust fundamentals and resilient business model. The stock is currently trading at attractive valuation levels, with a forward P/E indicating potential for further appreciation. Alibaba’s leadership changes, emphasis on AI and international expansion, and its dominant position in Chinese e-commerce all support mid- to long-term growth prospects. Maintaining exposure may be appropriate for investors seeking growth in technology and digital sectors.
Are dividends or capital gains from Alibaba shares taxable in Singapore?
In Singapore, capital gains from the sale of Alibaba shares are generally not taxable for individual investors, as Singapore does not impose a tax on capital gains. Dividends from Alibaba, being a Chinese company listed on the NYSE, may be subject to US withholding tax before reaching Singapore investors. However, Singapore does not tax foreign-sourced dividends for individuals. Always check for the latest changes in international tax agreements or brokerage fees that might impact your investment.