Core Viewpoint - BlackRock, the world's largest asset manager, has decided to accumulate a significant position in Alibaba Group, indicating a strong belief in the company's potential despite current uncertainties in the market [2][3][15] Group 1: Investment Sentiment - Alibaba's stock is currently trading at $132.84, which is 85% of its 52-week high, and significantly lower than its all-time high of over $315 per share [5][6] - Analysts from Benchmark have reiterated a Buy rating on Alibaba with a target valuation of $190 per share, suggesting a potential upside of 51.2% from current levels [9][10] - Goldman Sachs has increased its holdings in Alibaba by 22.6%, bringing their net position to $2 billion, reflecting confidence in the stock [13] Group 2: Market Dynamics - Recent trade talks between the United States and China have led to an agreement to lower tariffs for up to 90 days, which may positively impact Chinese stocks like Alibaba [7][15] - Following the announcement of the tariff reduction, Alibaba's stock rallied by as much as 6% in a single day, indicating positive market sentiment [8] - The short interest in Alibaba has declined by 2.6%, signaling a bearish capitulation and enhancing the risk-to-reward setup for potential buyers [14]
A 90-Day Tariff Pause Sends Alibaba Flying—BlackRock Was Ready