DJ Alibaba Group Appears to Have Multiple, Multi-Year Growth Drivers -- Market Talk
0506 GMT - Alibaba Group likely has multiple growth drivers in coming years, Jefferies says. The e-commerce giant's core marketplace is a cash cow and it leads in the cloud-computing market. "Alibaba is at the center of the consumption-driven economy," and it can ramp up effectively in lower-tier cities thanks to its highly synergistic ecosystem, the investment bank says. China's recent Covid-19 outbreak and an uncertain macroeconomic outlook could weigh on the September quarter, but Jefferies' FY 2022 revenue and earnings estimates for the company remains largely unchanged. Alibaba will increase its share buyback program to US$15 billion from US$10 billion, reflecting "confidence about its long-term outlook," it adds, keeping the buy-rated H-shares' target price at HK$328.00. Its H-shares are 0.4% higher at HK$194.20. (clarence.leong@wsj.com)
(END) Dow Jones Newswires
August 04, 2021 01:06 ET (05:06 GMT)
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