BABA(HK:09988) Soochow Securities·2024-09-01 09:32Investment Rating - The report maintains a "Buy" rating for the company [1][2][25] Core Views - The regulatory risks have significantly decreased, leading to a more favorable investment environment for the company. The report anticipates improvements in the company's fundamentals, which could drive valuation upward [2][19] - The company is focusing on enhancing service efficiency across its business segments. Although large-scale investments may impact short-term performance, they are expected to build long-term competitive advantages [2][6] Financial Projections - The earnings per share (EPS) forecasts for the fiscal years 2025, 2026, and 2027 are projected at 8.00, 8.67, and 9.38 yuan respectively. The corresponding price-to-earnings (PE) ratios (Non-GAAP) are 9.36, 8.64, and 7.98 [2][18] - The total revenue is expected to grow from 941,168 million yuan in 2024 to 1,194,600 million yuan in 2027, reflecting a compound annual growth rate (CAGR) of approximately 8.15% [18] - The net profit attributable to the parent company is projected to increase from 80,009 million yuan in 2025 to 134,062 million yuan in 2027, with a notable growth rate of 45.05% in 2026 [18] Market Data - The closing price of the company's stock is 81.45 HKD, with a one-year low of 64.60 HKD and a high of 94.00 HKD. The price-to-book ratio is 1.66, and the market capitalization is approximately 1,575,689.79 million HKD [4][6]