Alibaba’s Hong Kong-listed shares jumped 53% in September, the best performance on the Hang Seng Index. Investor enthusiasm surged after the company announced plans to hike AI spending past an original target of more than US$53 billion ($68.28 billion), and a new partnership with Nvidia Corp.
JPMorgan Chase & Co. has raised its price target for Alibaba Group Holding Ltd.’s Hong Kong shares by almost 45%, setting the highest target among analysts tracked by Bloomberg.
The new target of HK$240 ($39.74) a share by the end of 2026 implies a 36% gain from the close on Tuesday. The valuation at 12 times the bank’s fiscal 2028 earnings estimate for Alibaba “offers significant room” for upside, analysts led by Alex Yao wrote, citing an improved cloud-revenue outlook and growing synergy between its AI and e-commerce operations.
