Alibaba Group is a Chinese technology and e-commerce company founded by Jack Ma in 1999.

Starting as an online trading platform for small and medium-sized businesses, Alibaba has rapidly grown into one of the world’s technology giants.

With an ecosystem spanning e-commerce, cloud services, logistics, and digital finance, Alibaba plays a key role in transforming the global digital economy.

Its success has not only impacted the domestic Chinese market but has also reached an international scale, making it a major player in the modern technology industry. Here’s a full review.

What is Alibaba Stock?

Alibaba Group (BABA) is a Chinese technology company founded by Jack Ma and 17 other founders in 1999.

Starting from a small apartment in Hangzhou, Alibaba has grown into a global giant in the e-commerce and technology industry.

Currently, Alibaba has become a public company listed on the New York Stock Exchange (NYSE) with the stock code BABA.

As a company that continues to innovate, Alibaba not only focuses on e-commerce but has also expanded into other sectors such as cloud computing, digital entertainment, and technology development.

Alibaba’s stock price is influenced by various external factors that can impact the company’s performance and investor confidence.

One of them is Chinese government regulations, which play a major role in determining the direction of technology companies’ businesses in the country.

In addition, global market fluctuations can also affect Alibaba’s stock movements, especially because the company operates in various countries and faces different economic dynamics.

Alibaba’s financial performance itself is also a major factor, where strong financial reports and consistent business growth can increase the value of its shares in the market.

People Also Read: 8 Differences Between Nasdaq and NYSE: Choose Smartly, Gain Profit!

Alibaba Company Profile

As one of the leading technology companies, Alibaba Group was founded in 1999 and has developed in the fields of e-commerce, cloud computing, and artificial intelligence. Here is Alibaba’s company profile:

1. History and Establishment

Alibaba Group was founded in 1999 by Jack Ma and 17 other founders with the aim of helping small businesses in China access the global market through the online B2B platform, Alibaba.com.

With the mission of “making business easy anywhere”, Alibaba started its journey from a small apartment in Hangzhou.

In 2003, Alibaba expanded its reach by launching Taobao, a C2C platform for the Chinese domestic market, and Alipay, a digital payment service that is now one of the largest in the world.

Innovation continued with the launch of Tmall in 2008, which focused on quality products and premium brands. The following year, they introduced “Singles’ Day”, which is now the largest online shopping festival in the world.

Alibaba made history in 2014 with the world’s largest IPO, raising $25 billion on the New York Stock Exchange.

That same year, they introduced Alibaba Cloud, which is now the leading cloud computing service provider in Asia.

The company continues to grow, although in 2019 Jack Ma retired as Chairman and was replaced by Daniel Zhang. To this day, Alibaba remains one of the major players in the global e-commerce and technology industry.

2. Alibaba’s Business Segments

Alibaba Group manages various business segments that cover various aspects of technology and the digital economy, including:

1.E-commerce

Alibaba operates major platforms such as Alibaba.com (global B2B), Taobao (domestic C2C with over 700,000,000 monthly active users), and Tmall (B2C with over 500,000,000 monthly active users).

2.Alibaba Cloud

A leading cloud computing service provider in Asia with over 3,000,000 customers, supporting businesses with cloud computing and artificial intelligence solutions.

3.Logistics

Through Cainiao Network, Alibaba builds a smart logistics system that enables fast and efficient delivery across multiple countries.

4.Artificial Intelligence (AI)

Alibaba invests heavily in the development of AI, which is applied in product search, user experience personalization, as well as smart city and cloud computing technologies.

3. Alibaba’s Vision and Mission

Alibaba has a vision of “making business easy anywhere” by building a digital infrastructure that supports future commerce.

They believe that technology can help drive economic growth and improve the welfare of global society.

Meanwhile, its mission is to “help small businesses” by providing digital solutions that allow anyone to participate in the digital economy.

Alibaba is committed to creating an inclusive ecosystem, where small and medium-sized businesses can thrive through innovation and wider market access.

People Also Read: What is Wall Street and Why Does It Affect Stocks?

Alibaba Stock Performance

As one of the leading technology companies, Alibaba’s stock performance reflects the dynamics of the global market and the internal and external factors that influence it. Here is its stock performance:

1. Alibaba Stock Performance Analysis

Quoting the id.investing.com page, Alibaba (BABA) shares have experienced a fairly rapid increase in the past month. On February 21, 2025, its stock price closed at $143.75, up 5.72% from the previous day.

Throughout the period from January 23 to February 23, 2025, its stock price moved in the range of $67.78 – $145.30, with an average of $108.70. This trend shows a strong recovery after a period of volatility at the beginning of the year.

2. Factors Affecting Alibaba Stock Performance

Some of the main factors influencing Alibaba’s stock movements include innovation in technology and the growing expansion of cloud computing services.

On the external side, the Chinese government’s policies towards the technology sector and global market dynamics also play a role in determining stock value.

In addition, the surge in trading volume, especially on February 20, 2025 with $118,850,000, indicates increasing investor interest in BABA.

3. Comparison of Alibaba Stock Performance with Similar Companies

When compared to other large technology companies, Alibaba shows higher volatility but with great growth potential.

Compared to its competitors in the e-commerce and cloud sectors such as Amazon and Tencent, Alibaba’s stock movement shows an aggressive recovery even though it still faces challenges from regulations and increasingly tight market competition.

Why Invest in Alibaba Stocks?

Alibaba offers an attractive investment opportunity with high growth potential, competitive advantages, and challenges that investors need to pay attention to. Here are some reasons to invest in Alibaba stocks:

1. Alibaba Growth Potential

Alibaba continues to expand its business beyond e-commerce, with major investments in cloud computing and AI.

Alibaba Cloud is now one of the largest cloud service providers in Asia, offering high growth potential as global demand for digital technology increases.

2. Alibaba’s Competitive Advantages

Alibaba has a strong digital infrastructure, extensive logistics network, and e-commerce ecosystem that dominates the Chinese market.

Strategic partnerships with various global companies also strengthen its position as a leader in the technology and digital commerce sector.

3. Risks to Watch Out For

Although Alibaba has promising growth prospects, the company still faces major challenges, including regulatory uncertainty from the Chinese government that could affect its operations and business policies.

In addition, tight competition with global technology giants such as Amazon and Tencent increasingly demands Alibaba to continue to innovate in order to maintain its dominance in the market.

People Also Read: How to Buy IPO Stocks, A Practical Guide for Beginners

How to Buy Alibaba Stock?

To buy Alibaba shares, investors need to choose a trading platform that supports international markets and follow the correct purchase procedures. Here’s how to buy Alibaba shares:

1. The Right Investment Platform

Alibaba shares (BABA) are traded on the New York Stock Exchange (NYSE), so investors need to use a platform that supports international stock purchases, such as eToro, Interactive Brokers, or Saxo Bank.

Make sure the platform you choose has access to the US stock market and offers competitive analysis features and transaction costs.

2. Steps to Buy BABA Shares

• Open an Account on an Investment Platform: Register with a broker that supports international stock trading and complete the verification process.
• Deposit Funds: Add funds to your trading account with the available payment methods.
• Search for Alibaba (BABA) Shares: Use the search feature on the platform to find Alibaba shares listed on the NYSE.
• Analyze and Select Orders: Perform technical and fundamental analysis before purchasing, then select the type of order (market order or limit order).
• Confirm Purchase: Once the order is executed, Alibaba shares will be added to your investment portfolio.

Alibaba Stock Technical and Fundamental Analysis

Alibaba stock technical and fundamental analysis provides an overview of the company’s price movements and financial health. Here is the analysis:

1. Technical Analysis

Quoting the id.investing.com page, Alibaba (BABA) shares showed a bullish trend with a price increase of 5.72% at the last close at $143.75.

The Relative Strength Index (RSI) is at 89.14, indicating overbought conditions. Analyst sentiment shows a recommendation of “Strong Buy”, with a target price of $148.36, providing a potential increase of around 3.20%.

2. Fundamental Analysis

From a fundamental perspective, Alibaba has a P/E ratio of 18.03, indicating a valuation relative to its net income. Return on Equity (ROE) was recorded at 12%, indicating quite good profitability compared to shareholder equity.

With a gross profit margin of 38.8%, Alibaba is still able to maintain its operational efficiency. The company’s current market capitalization stands at $281,920,000,000, reflecting its position as one of the largest technology companies.

People Also Read: Smart Ways to Play Stocks for Beginners on HP with Minimal Capital

Alibaba’s Future Stock Prospects

Alibaba’s future stock prospects are influenced by market trends, technological innovation, and the company’s expansion strategy. Here is a review of Alibaba’s future stock prospects:

1. Alibaba Stock Performance Projections

Alibaba’s current stock price is at $143.75, with a 5.72% increase in a day. The stock price projection shows a potential upside of 3.20% towards the target of $148.36.

In addition, the company continues to aggressively buy back shares, which could support future stock price increases.

With a P/E ratio of 18.03 and EPS of 35.22, Alibaba shows a valuation that is still attractive to long-term investors.

2. China’s Tech Sector Growth

As part of China’s rapidly growing tech sector, Alibaba has the potential to benefit from increased investment in AI, cloud computing, and e-commerce.

With a gross profit margin of 38.8% and a return on equity of 12%, Alibaba has a strong financial foundation to support further expansion. However, investors should still be aware of government regulations and intense competition in the industry.

Conclusion

Well, that was an interesting discussion about Alibaba Stocks: Smart Investment in the Digital Era that you can read in full at the Crypto Academy at INDODAX Academy. and not only does it increase your insight into investment, here you can also find the latest crypto news about the crypto world

In conclusion, Alibaba stocks have the potential to be a promising investment option, especially for long-term investors looking for opportunities in the technology and e-commerce sectors.

The company has strong business fundamentals, supported by its dominance in the Chinese e-commerce market, innovation in cloud computing, and expansion into the digital financial services and artificial intelligence sectors.

Despite facing challenges such as strict regulation and increasingly fierce competition, Alibaba continues to demonstrate its adaptability and solid growth strategy.

With a broad business ecosystem and high competitiveness, Alibaba’s long-term prospects remain attractive to investors looking to gain exposure to China’s digital economy and the growing global market.

For the latest information, INDODAX will soon launch a new feature that provides users with the opportunity to invest in stocks traded on the United States stock exchange.

With this feature, users can access over 50 stocks from the US market, allowing them to expand their investment portfolio beyond crypto assets in one account.

FAQ

1.What is Alibaba Stock (BABA)?

A brief explanation of BABA stock and how it is traded in the global market.

2.What Affects Alibaba Stock Price?

Factors that affect Alibaba stock price, including Chinese government policies and global e-commerce market conditions.

3.How to Buy Alibaba Stock in Indonesia?

A guide for Indonesian investors to buy Alibaba stock through an international trading platform that supports US stock transactions.

4.Is Alibaba Profitable for Long-Term Investment?

An analysis of whether Alibaba stock is suitable as a long-term investment option, based on historical performance and future prospects.

5.What are the Risks Associated with Investing in Alibaba Stock?

A discussion of the risks that investors need to consider before deciding to invest in Alibaba stock.