KeyBanc analyst Hans Chung will be BabaThe target price was lowered to $270 from $275, and the stock maintained its outperform rating.
The analyst expects customer management income (CMR) to fall due to slower GMV growth in the first quarter and relatively mature online penetration with less room to rise, although GMV growth was good in June. The new retail business is expected to decline due to stronger seasonality and greater competition.
Chung added that in spite of this, he believes that Alibaba's market position in e-commerce and cloud computing is still better than previously expected for the post-antitrust era. In view of Alibaba's great potential in e-commerce and Aliyun, Alibaba is still attractive in the long run.
As of press time, Alibaba's US stock rose 0.9% to US $213.51 before trading.