Alibaba’s earnings showed weaker profit and cash flow, but its AI and cloud growth gave investors a reason to look past the near-term hit.

Alibaba (NYSE:BABA | BABA Price Prediction) just received twin price target hikes from two major firms, both landing on the same number. Barclays raised its price target to $195 from $186 while reiterating an Overweight rating,

Alibaba Q1 earnings missed revenue, but AI cloud growth surged. AI-related revenue increased by triple digits for the 10th consecutive quarter. See more on BABA.

Despite the earnings hit, BABA continued to climb as investors focused on long-term growth prospects and cloud/AI expansion momentum.

Alibaba is likely to ‘overshoot’ its original capex target of US$56 billion over three years, CEO Eddie Wu Yongming told analysts.

Alibaba enters an AI-driven growth phase as cloud revenue jumps 38% and customers rise 40%. Click here to read an analysis of BABA stock now.

Alibaba Group’s domestic commerce engine lost most of its profit last fiscal year, with the Taobao and Tmall Group’s adjusted EBITA dropping 84% as CEO Eddie Wu funneled billions into artificial intelligence infrastructure that has yet to pay for itself.

The Chinese tech giant’s New York-listed shares also closed up 8.2 per cent on Wednesday, after it reported triple-digit growth in AI revenues.

China spent the last year building an alternative to Nvidia. Then, in a single week, everything shifted. On Wednesday, Tencent and Alibaba announced they were ramping up homegrown

May 13 (Reuters) - China's Alibaba said on Wednesday that fourth-quarter revenue climbed 3%, helped by robust growth for its cloud computing and AI divisions, while its e-commerce unit also benefited from a new round of government subsidies.

Alibaba just posted the worst quarterly profit performance in its recent history, and the company did it to itself on purpose. Net income for the quarter ended March 31, 2026, plunged 84% compared with the same period a year earlier,