Pale Fire Capital SE Makes New $49.81 Million Investment in Alibaba Group Holding Limited $BABA

Pale Fire Capital SE purchased a new position in shares of Alibaba Group Holding Limited (NYSE:BABA) during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 518,964 shares of the specialty retailer’s stock, valued at approximately $49,810,000. Alibaba Group makes up about 1.3% of Pale Fire Capital SE’s investment portfolio, making the stock its 8th largest holding.

Several other hedge funds and other institutional investors have also modified their holdings of the company. Northwestern Mutual Wealth Management Co. grew its stake in shares of Alibaba Group by 7,680.3% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 6,014,147 shares of the specialty retailer’s stock worth $881,554,000 after acquiring an additional 5,936,847 shares in the last quarter. Norges Bank purchased a new stake in Alibaba Group during the 4th quarter worth about $594,477,000. Altshuler Shaham Ltd purchased a new stake in Alibaba Group during the 4th quarter worth about $160,410,000. Third Point LLC acquired a new stake in Alibaba Group in the 4th quarter valued at about $120,928,000. Finally, Bbfit Investments PTE Ltd. acquired a new position in shares of Alibaba Group during the fourth quarter worth about $106,828,000. 13.47% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling at Alibaba Group

In other news, President J. Michael Evans sold 720,000 shares of the stock in a transaction dated Monday, June 29th. The shares were sold at an average price of $94.95, for a total value of $68,364,000.00. Following the completion of the transaction, the president owned 28,000 shares in the company, valued at $2,658,600. This trade represents a 96.26% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Joseph C. Tsai acquired 720,000 shares of the firm’s stock in a transaction that occurred on Monday, August 24th. The shares were bought at an average cost of $14.29 per share, for a total transaction of $10,288,800.00. Following the acquisition, the director owned 114,979,168 shares of the company’s stock, valued at $1,643,052,310.72. This represents a 0.63% increase in their position. The SEC filing for this purchase provides additional information. Over the last quarter, insiders sold 920,303 shares of company stock valued at $70,796,370. Insiders own 12.50% of the company’s stock.

Wall Street Analyst Weigh In

A number of brokerages have commented on BABA. Barclays increased their price objective on shares of Alibaba Group from $195.00 to $200.00 and gave the company an “overweight” rating in a research report on Friday, August 21st. Robert W. Baird lowered their price objective on Alibaba Group from $164.00 to $160.00 and set an “outperform” rating for the company in a research report on Friday, August 21st. Susquehanna increased their price objective on Alibaba Group from $185.00 to $190.00 and gave the company a “positive” rating in a report on Friday, August 28th. Wall Street Zen upgraded Alibaba Group from a “sell” rating to a “hold” rating in a research note on Saturday, May 23rd. Finally, Zacks Research raised shares of Alibaba Group from a “strong sell” rating to a “hold” rating in a report on Tuesday, June 2nd. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $188.70.

Trending Headlines about Alibaba Group

Here are the key news stories impacting Alibaba Group this week:

• Positive Sentiment: Alibaba’s AI strategy remains a potential long-term growth driver. However, the company is spending heavily on AI and competing aggressively in e-commerce, which could eventually strengthen its technology and cloud businesses. Alibaba stock holds under $120 as June quarter margin squeeze meets AI share sale
• Neutral Sentiment: Multiple law firms, including Rosen, Robbins, Kaplan Fox, Bernstein Liebhard, Pomerantz and Hagens Berman, reminded investors of a securities class action covering purchases made from June 26, 2025, through June 24, 2026. The October 5, 2026 deadline concerns applications to serve as lead plaintiff; the announcements themselves do not establish liability. Rosen Alibaba class action deadline notice
• Negative Sentiment: The lawsuits allege that Alibaba and certain executives misled investors about risks involving artificial-intelligence model practices, regulatory or military-company classifications, and related disclosures. If the claims advance, Alibaba could face legal costs, potential damages and additional regulatory scrutiny. Levi and Korsinsky Alibaba class action allegations
• Negative Sentiment: Fundamental pressure is amplifying the legal overhang: Alibaba’s latest reported EPS missed consensus, while profits and cash flow have reportedly fallen as the company funds AI expansion and a costly commerce battle. Margin compression and uncertain returns on AI spending are key reasons investors remain cautious. Alibaba earnings and AI investment analysis

Alibaba Group Stock Down 0.9%

BABA stock opened at $111.79 on Thursday. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.36 and a quick ratio of 1.36. The company has a market cap of $267.95 billion, a price-to-earnings ratio of 27.07, a price-to-earnings-growth ratio of 2.06 and a beta of 0.51. Alibaba Group Holding Limited has a 12 month low of $91.99 and a 12 month high of $192.67. The company has a fifty day moving average price of $115.49 and a 200 day moving average price of $125.47.

Alibaba Group (NYSE:BABA) last released its earnings results on Friday, August 14th. The specialty retailer reported $1.26 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.94 by ($0.68). The company had revenue of $39.64 billion during the quarter, compared to analyst estimates of $39.52 billion. Alibaba Group had a net margin of 7.00% and a return on equity of 4.79%. The company’s revenue for the quarter was up 8.6% on a year-over-year basis. During the same period in the previous year, the firm posted $14.75 EPS. Sell-side analysts expect that Alibaba Group Holding Limited will post 5.88 earnings per share for the current year.

About Alibaba Group

Alibaba Group Holding Limited is a Chinese multinational conglomerate founded in 1999 in Hangzhou, China, by Jack Ma and a group of co?founders. The company built its business around internet-based commerce and related services and has grown into one of the largest e-commerce and technology companies in the world. Alibaba completed a high?profile initial public offering on the New York Stock Exchange in 2014.

The company operates a portfolio of online marketplaces and platforms serving different customer segments: Alibaba.com for global and domestic B2B trade, Taobao for consumer-to-consumer shopping, and Tmall for brand and retailer storefronts targeted at Chinese consumers.