Our updated Discounted-Cash-Flow (DCF) analysis shows that the fair value of Alibaba's stock is around $155 USD, higher than the current price of $132.43 USD (as of March 29, 2025).

In the most recent quarter, Alibaba increased its revenue by 8% to 280.2 billion yuan (approximately $38.38 billion), with a net income of 48.9 billion yuan (approximately $6.71 billion). (AP News) Furthermore, the company plans to invest about $52 billion in cloud computing and AI over the next three years to compete with global players like DeepSeek and OpenAI. (FT.com)

Risks include dependence on regulatory frameworks, competition in e-commerce, and macroeconomic uncertainties. Investors should carefully consider these factors before making investment decisions.

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Disclaimer

The user Marco_iltedesco holds no position in NYSE:BABA. Simply Wall St has no position in any of the companies mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The author of this narrative is not affiliated with, nor authorised by Simply Wall St as a sub-authorised representative. This narrative is general in nature and explores scenarios and estimates created by the author. The narrative does not reflect the opinions of Simply Wall St, and the views expressed are the opinion of the author alone, acting on their own behalf. These scenarios are not indicative of the company's future performance and are exploratory in the ideas they cover. The fair value estimates are estimations only, and does not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that the author's analysis may not factor in the latest price-sensitive company announcements or qualitative material.