5 Best Internet Retail Stocks to Buy

2. Alibaba Group Holding Ltd – ADR (NYSE:BABA)

Number of Hedge Fund Holders: 110

Alibaba Group Holding Ltd – ADR (NYSE:BABA) stands as a prominent entity in Chinese e-commerce, with Alibaba.com serving as one of the largest platforms in the industry. Beyond its core e-commerce business, Alibaba Group Holding Ltd – ADR (NYSE:BABA) has made substantial investments in diverse markets, including cloud computing, digital media, and entertainment. Alibaba Cloud, the company’s cloud computing division, ranks among the world’s largest and offers a comprehensive array of services encompassing infrastructure, security, and data analytics.

Baird analyst Colin Sebastian suggested in December that Alibaba Group Holding Ltd – ADR (NYSE:BABA) could be positioned to benefit in 2024 due to advancements in artificial intelligence (AI) and improved operating efficiencies. Despite this positive outlook, the analyst lowered the price target on the stock to $95. Sebastian highlighted several potential catalysts for the company, including factors such as e-commerce competition, corporate reorganization, shareholder returns, initiatives related to generative AI, and trends within Alicloud, Alibaba Group Holding Ltd – ADR (NYSE:BABA)’s cloud computing arm.

At the end of the third quarter of 2023, 110 hedge funds in the database of Insider Monkey held stakes worth $3.3 billion in Alibaba Group Holding Ltd – ADR (NYSE:BABA), compared to 112 in the preceding quarter worth $4.1 billion.