Alibaba Stock Sees Retail Chatter Spike 340% Ahead Of Earnings: AI Investment And E-Commerce In Focus

Alibaba Group Holding (BABA) witnessed a retail user message count jump of nearly 340% in the last 24 hours on Stocktwits ahead of its earnings this week, with investors looking for commentary regarding the company’s e-commerce business and its investment in artificial intelligence.

Retail sentiment on Alibaba improved to ‘bullish’ territory, compared with ‘neutral’ a day ago, with message volumes at ‘normal’ levels, according to data from Stocktwits.

U.S.-listed shares of Alibaba rose over 3% in premarket trading on Monday. Banma, which is a smart car technology firm supported by Alibaba, has announced plans to go public on the Hong Kong Stock Exchange, according to a filing by Alibaba last week. As of August 21, Alibaba disclosed it holds roughly 45% of Banma’s shares and expects to retain more than a 30% stake following the potential initial public offering.

Alibaba is expected to post first-quarter results on August 29. The company is expected to report net revenue of RMB 253.81 billion ($35.41 billion) and earnings per share of RMB 15.47, according to data compiled by Fiscal AI.

In July, Barclays lowered its price target on Alibaba to $145 from $180 and maintained an ‘Overweight’ rating, according to TheFly. Barclays noted that the company’s shares are under pressure due to intensifying competition in food delivery and the losses in the space.

On Monday, rival PDD Holdings Inc (PDD) shares jumped nearly 11% before the bell after the company reported second-quarter results that beat Wall Street expectations on the back of steady demand in China and in international markets.

A bullish user on Stocktwits expects Alibaba’s stock to hit $130 by earnings on Friday.

Shares of Alibaba gained 45% this year and over 50% in the last 12 months.

RMB 1 = $0.14

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Also See: Why Is PDD Stock Up 11% In Pre-Market Today?