Alibaba's Profitability Likely Weighed by Competition, AI Investments -- Market Talk
Dow Jones01-13
0656 GMT - Alibaba Group's profitability likely continued to face pressure in its fiscal third quarter, according to Daiwa analysts in a research note. Daiwa expects Alibaba's customer management revenue growth to drop to a low single-digit percentage during the quarter, due to macro weakness and intensified competition. The company's profit will also be dragged by its heavy investments in AI and food delivery, they note. Daiwa keeps a buy rating but cuts the target price of its ADRs slightly to US$197.00 from US$200.00. The ADRs last traded at US$166.31. (tracy.qu@wsj.com)
(END) Dow Jones Newswires
January 13, 2026 01:56 ET (06:56 GMT)
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