Ge Long Hui·2025-09-25 06:24Core Insights - Bank of America reports that Alibaba is set to exceed its original budget of 380 billion yuan for investments in artificial intelligence and cloud computing over the next three years, as emphasized by Alibaba Cloud CEO Wu Yongming during the 2025 Cloud Summit [1] - The management anticipates that only 5 to 6 super cloud computing platforms will exist globally in the long term, positioning Alibaba as a leading full-stack AI service provider [1] - The company expects significant growth in its cloud business driven by strong AI-native demand, international expansion, and increased AI adoption in traditional industries [1] Financial Projections - Bank of America has raised its earnings per ADS forecast for Alibaba for the fiscal years 2026 to 2028 by 0% to 4% [1] - The target price for Alibaba's US stock has been increased from $168 to $195, while the target price for its Hong Kong stock has been raised from HKD 164 to HKD 190 [1] - The forecasted compound annual growth rate for Alibaba's cloud business is expected to exceed 30% over the next three years, supported by a solid e-commerce outlook [1] Investment Rating - Bank of America reaffirms a "Buy" rating for Alibaba based on the anticipated growth in its cloud business and the overall positive outlook for its e-commerce operations [1]