5 Most Undervalued Large-Cap Stocks To Buy According To Analysts

1. Alibaba Group Holding Limited (NYSE:BABA)

Number of Hedge Fund Holders: 116

Average Analyst Price Target: $105.7

Market Capitalization: $187.4 billion

Upside Potential: 43.9%

A total of 116 hedge funds were long Alibaba Group Holding Limited (NYSE:BABA) in the fourth quarter, with a total stake value of $3.6 billion.

A $105 price target and Overweight rating were maintained on Alibaba Group Holding Limited (NYSE:BABA) on February 8 by JPMorgan analysts.

Alibaba Group Holding Limited (NYSE:BABA) is another broad-line retail company on our list. It provides technology infrastructure and marketing reach to merchants, brands, retailers, and other businesses.

Baron Funds said the following about Alibaba Group Holding Limited (NYSE:BABA) in its fourth-quarter 2023 investor letter:

“Alibaba Group Holding Limited (NYSE:BABA) is the largest retailer and e-commerce company in China. Alibaba operates shopping platforms Taobao and Tmall and owns 33% of Ant Group, which operates Alipay, China’s largest third-party online payment provider. Shares of Alibaba were down in the fourth quarter due largely to the delay of the previously announced spin-off of its cloud division. Quarterly results were roughly in line with Street expectations, with strength in profitability. We retain conviction that Alibaba is well positioned to benefit from the ongoing growth in online commerce and cloud development in China. While the company is seeing early progress in its efforts to re-invigorate customer engagement and retention as well as merchant investment initiatives, we believe this investment will likely take some time to flow through to accelerating earnings growth. As such, we remain investors but have reduced our position as we monitor further progress.”

See also 10 Oversold Large Cap Stocks to Buy and 15 High Growth Large Cap Stocks to Invest In.