--- title: "Jefferies Names Alibaba (BABA) as Its 'Top China Internet Pick.' Here's Why" type: "News" locale: "en" url: "https://longbridge.com/en/news/289582362.md" description: "Jefferies names Alibaba (BABA) its top China internet pick, citing strength in its cloud and AI segments. Despite a 22% year-to-date stock decline, Jefferies highlights AliCloud's 38% revenue growth and triple-digit AI product expansion. The firm views recent management changes at DingTalk and softer 618 festival sales as non-material risks. With a Strong Buy consensus and an average price target of $189.89, analysts see significant upside potential." datetime: "2026-06-12T10:10:23.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/289582362.md) - [en](https://longbridge.com/en/news/289582362.md) - [zh-HK](https://longbridge.com/zh-HK/news/289582362.md) --- # Jefferies Names Alibaba (BABA) as Its 'Top China Internet Pick.' Here's Why Alibaba (BABA), the e-commerce and cloud computing giant, remains Jefferies' top pick in China's internet sector. The stock is down 22% year-to-date and about 3% over the past year amid a broader sell-off in technology shares. Despite the recent weakness, Jefferies continues to see strength in Alibaba's cloud business and growing AI offerings. ### Introducing TipRanks MCP for Agents - Deliver institutional-grade market data directly into Claude, ChatGPT, Cursor, and other MCP-compatible AI tools. - Designed for personal research, portfolio monitoring, and AI-assisted investment workflows. ## **AliCloud Remains a Key Strength** Jefferies said Alibaba Cloud remains one of the company's biggest advantages. The firm noted that AliCloud's broad range of cloud and AI services helps it stand out from rivals and strengthens its position in China's growing AI market. Notably, Alibaba's cloud and AI business remained a bright spot in the fiscal fourth quarter. Revenue from the Cloud Intelligence Group climbed 38% year-over-year to 41.63 billion yuan. Meanwhile, AI-related product revenue posted triple-digit growth for the 11th consecutive quarter. Alibaba said AI products now make up roughly 30% of cloud revenue. The analysts at Jefferies also highlighted Alibaba's Model-as-a-Service (MaaS) business, saying revenue growth and margins remain healthy. As more companies adopt AI tools, Alibaba is well positioned to benefit through both its cloud platform and AI services. ## **Recent Concerns Haven't Changed the Story** The firm acknowledged that this year's 618 shopping festival has been less exciting than in prior years. However, Jefferies noted that softer promotions are affecting the entire industry rather than Alibaba alone. Jefferies also said recent management changes at DingTalk, Alibaba's workplace collaboration platform, do not change its positive view on the stock. The company recently appointed Chen Yusen, a senior AI executive from Alibaba Cloud, to lead the business as it pushes deeper into enterprise AI. The analysts noted that the leadership change has already been reflected in Alibaba's share price and does not pose a major risk to the broader investment case. ## **Is Alibaba Stock a Good Buy Right Now?** Analysts remain bullish about Alibaba's stock trajectory. With 16 Buy ratings and one Hold rating, BABA stock commands a Strong Buy consensus rating on TipRanks. Also, the average Alibaba price target of $189.89 implies about 68.50% upside potential from current levels. ### Related Stocks - [09988.HK](https://longbridge.com/en/quote/09988.HK.md) - [BABA.US](https://longbridge.com/en/quote/BABA.US.md) - [JEF.US](https://longbridge.com/en/quote/JEF.US.md) - [KBAB.US](https://longbridge.com/en/quote/KBAB.US.md) - [BABX.US](https://longbridge.com/en/quote/BABX.US.md) - [BABO.US](https://longbridge.com/en/quote/BABO.US.md) - [BABU.US](https://longbridge.com/en/quote/BABU.US.md) - [BABW.US](https://longbridge.com/en/quote/BABW.US.md) - [BBYY.US](https://longbridge.com/en/quote/BBYY.US.md) - [89988.HK](https://longbridge.com/en/quote/89988.HK.md) - [HBBD.SG](https://longbridge.com/en/quote/HBBD.SG.md) ## Related News & Research - [09:10 ETAlibaba's Amap Unveils ABot-Earth0.5 3D Native World Model for City-Scale Modeling](https://longbridge.com/en/news/289061340.md) - [US adds Chinese solar, battery firms to list of military-linked companies](https://longbridge.com/en/news/289283767.md) - [Acadia Realty Trust Announces Offering of 9,000,000 Common Shares | AKR Stock News](https://longbridge.com/en/news/289237151.md) - [BUZZ-IDEAYA Biosciences falls on $300 mln stock sale plans](https://longbridge.com/en/news/289103497.md) - [DraftKings CEO Slated to Take Part in Chat](https://longbridge.com/en/news/289203299.md)