Latest news with #AlibabaGroupHoldingLimited
Yahoo
2 days ago
- Business
- Yahoo
Alibaba Group Holding (NYSE:BABA) Is Increasing Its Dividend To CN¥1.98
Alibaba Group Holding Limited (NYSE:BABA) will increase its dividend from last year's comparable payment on the 10th of July to CN¥1.98. Although the dividend is now higher, the yield is only 0.9%, which is below the industry average. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. While yield is important, another factor to consider about a company's dividend is whether the current payout levels are feasible. However, Alibaba Group Holding's earnings easily cover the dividend. As a result, a large proportion of what it earned was being reinvested back into the business. Over the next year, EPS is forecast to expand by 44.3%. Assuming the dividend continues along recent trends, we think the payout ratio could be 2.4% by next year, which is in a pretty sustainable range. Check out our latest analysis for Alibaba Group Holding The company has maintained a consistent dividend for a few years now, but we would like to see a longer track record before relying on it. Since 2023, the annual payment back then was CN¥7.1, compared to the most recent full-year payment of CN¥7.54. This means that it has been growing its distributions at 3.1% per annum over that time. It's good to see at least some dividend growth. Yet with a relatively short dividend paying history, we wouldn't want to depend on this dividend too heavily. Investors who have held shares in the company for the past few years will be happy with the dividend income they have received. Alibaba Group Holding hasn't seen much change in its earnings per share over the last five years. While EPS growth is quite low, Alibaba Group Holding has the option to increase the payout ratio to return more cash to shareholders. In summary, it's great to see that the company can raise the dividend and keep it in a sustainable range. The dividend has been at reasonable levels historically, but that hasn't translated into a consistent payment. The payment isn't stellar, but it could make a decent addition to a dividend portfolio. Companies possessing a stable dividend policy will likely enjoy greater investor interest than those suffering from a more inconsistent approach. Meanwhile, despite the importance of dividend payments, they are not the only factors our readers should know when assessing a company. Earnings growth generally bodes well for the future value of company dividend payments. See if the 50 Alibaba Group Holding analysts we track are forecasting continued growth with our free report on analyst estimates for the company. If you are a dividend investor, you might also want to look at our curated list of high yield dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
6 days ago
- Business
- Yahoo
Earnings grew faster than the decent 51% return delivered to Alibaba Group Holding (NYSE:BABA) shareholders over the last year
While Alibaba Group Holding Limited (NYSE:BABA) shareholders are probably generally happy, the stock hasn't had particularly good run recently, with the share price falling 15% in the last quarter. While that might be a setback, it doesn't negate the nice returns received over the last twelve months. In that time we've seen the stock easily surpass the market return, with a gain of 48%. Although Alibaba Group Holding has shed US$16b from its market cap this week, let's take a look at its longer term fundamental trends and see if they've driven returns. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. Alibaba Group Holding was able to grow EPS by 74% in the last twelve months. This EPS growth is significantly higher than the 48% increase in the share price. So it seems like the market has cooled on Alibaba Group Holding, despite the growth. Interesting. The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers). It is of course excellent to see how Alibaba Group Holding has grown profits over the years, but the future is more important for shareholders. This free interactive report on Alibaba Group Holding's balance sheet strength is a great place to start, if you want to investigate the stock further. When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. In the case of Alibaba Group Holding, it has a TSR of 51% for the last 1 year. That exceeds its share price return that we previously mentioned. And there's no prize for guessing that the dividend payments largely explain the divergence! We're pleased to report that Alibaba Group Holding shareholders have received a total shareholder return of 51% over one year. And that does include the dividend. There's no doubt those recent returns are much better than the TSR loss of 8% per year over five years. The long term loss makes us cautious, but the short term TSR gain certainly hints at a brighter future. Is Alibaba Group Holding cheap compared to other companies? These 3 valuation measures might help you decide. If you are like me, then you will not want to miss this free list of undervalued small caps that insiders are buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
27-05-2025
- Business
- Yahoo
Loomis Sayles Global Growth Fund Trimmed Alibaba Group Holding Limited (BABA) in Q1. Here's Why
Loomis Sayles, an investment management company, released its 'Global Growth Fund' first quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter, the fund returned -3.35% compared to -1.32% for the MSCI ACWI Net Index. Stock selection in consumer staples, communication services, and healthcare sectors, and allocations to the information technology and healthcare sectors positively impacted the fund's relative performance. In addition, please check the fund's top five holdings to know its best picks in 2025. In its first-quarter 2025 investor letter, Loomis Sayles Global Growth Fund highlighted stocks such as Alibaba Group Holding Limited (NYSE:BABA). Alibaba Group Holding Limited (NYSE:BABA) provides technology infrastructure and marketing reach. The one-month return of Alibaba Group Holding Limited (NYSE:BABA) was 1.99%, and its shares gained 48.57% of their value over the last 52 weeks. On May 23, 2025, Alibaba Group Holding Limited (NYSE:BABA) stock closed at $120.73 per share with a market capitalization of $288.022 billion. Loomis Sayles Global Growth Fund stated the following regarding Alibaba Group Holding Limited (NYSE:BABA) in its Q1 2025 investor letter: "Alibaba Group Holding Limited (NYSE:BABA) is a leading China e-commerce and consumer-engagement platform provider, operating several businesses across commerce, technology, advertising, digital media and entertainment, logistics, payments, and local services. With over 40% of China's e-commerce transactions estimated to take place through its Taobao and Tmall marketplaces, we believe Alibaba's scale and brand would be difficult-to-replicate. An e-commerce platform displaying a wide range of products to customers online. Alibaba Group Holding Limited (NYSE:BABA) is in 17th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 125 hedge fund portfolios held Alibaba Group Holding Limited (NYSE:BABA) at the end of the first quarter, which was 107 in the previous quarter. While we acknowledge the potential of Alibaba Group Holding Limited (NYSE:BABA) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains. In another article, we covered Alibaba Group Holding Limited (NYSE:BABA) and shared Jim Cramer's successful stock predictions. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors. READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
24-05-2025
- Business
- Yahoo
Was Jim Cramer Right About Alibaba Group Holding Limited (BABA)?
We recently published a list of . In this article, we are going to take a look at where Alibaba Group Holding Limited (NYSE:BABA) stands against other stocks that Jim Cramer discusses. Back in 2024, on May 20, a caller asked Jim Cramer whether Alibaba Group Holding Limited (NYSE:BABA) was finally investable despite years of geopolitical risk and low valuation. Cramer acknowledged the risk, but emphasized how cheap the stock had become. 'You know, I was talking to my buddy Dave Trear — he's got a huge position — he was one of my thousand bosses that I had at Goldman. And we both admit — I mean, this is just one of the cheapest stocks. It's the cheapest stock in the world. Cheapest major stock in the world. If you can stomach owning a stock that is from China — buy it. It's what I have to say. And buy some more if it goes down.' This was a great call by Cramer, rising by 39.44% since then. Alibaba Group Holding Limited (NYSE:BABA) is recovering as China cautiously reopens, though concerns about regulation and macro risk persist An e-commerce platform displaying a wide range of products to customers online. Earlier this year, in April, Cramer said that he thinks that is the only Chinese stock worth looking at: 'The Chinese market is in bull market mode. The only one that I've supported the whole way is Alibaba. But I give you my blessing on this because right now it is the place to be and that is the right sector.' Overall, BABA ranks 4th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of BABA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BABA and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
23-05-2025
- Business
- Yahoo
CMB International Securities Maintains a Buy Rating on Alibaba (BABA), Lowers PT
On May 19, Saiyi He, an analyst from CMB International Securities, maintained a Buy rating on Alibaba Group Holding Limited (NYSE:BABA) and lowered the associated price target to $155.50 from $157. The rating came after the company's strong March quarter fiscal 2025, as it delivered a 7% revenue growth and a notable EBITA growth of 36%. Christopher Penler / The analyst attributed this growth to improved profitability across the company's business segments, especially in the Taobao and Tmall Groups, where customer management revenue rose 12% in the quarter. Alibaba Group Holding Limited's (NYSE:BABA) solid performance is anticipated to continue in the next fiscal quarter, supported by higher take rates and healthy GMV growth. The analyst also supported the Buy rating with promising revenue growth in the company's Cloud Intelligence Group, and anticipates further acceleration with a rise in digitalization demand. Quarterly revenue growth in the Cloud Intelligence Group accelerated to 18%, while AI-related product revenue attained triple-digit growth for the seventh consecutive quarter. Saiyi He sees Alibaba Group Holding Limited's (NYSE:BABA) ongoing investments in R&D and technology as a strong base for long-term growth in the cloud sector. While we acknowledge the potential of BABA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BABA and that has 100x upside potential, check out our report about the . READ NEXT: and . Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
