Is It Worth Investing in Alibaba (BABA) Based on Wall Street's Bullish Views?
Alibaba currently has an average brokerage recommendation (ABR) of 1.35, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 17 brokerage firms.
Alibaba currently has an average brokerage recommendation (ABR) of 1.35, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 17 brokerage firms. An ABR of 1.35 approximates between Strong Buy and Buy.
Of the 17 recommendations that derive the current ABR, 14 are Strong Buy, representing 82.4% of all recommendations.
Famous investor, crypto enthusiast and entrepreneur Michael Burry increased his Alibaba and JD.com holdings in Q1 2024. He articulated, that despite positive metrics, Alibaba's stock remains undervalued compared to Amazon, offering a significant discount for investors.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price.
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