Top 10 AI Stocks That Are Being Monitored By Wall Street

2. Alibaba Group Holding Limited (NYSE:BABA)

Number of Hedge Fund Holders: 115

Alibaba Group Holding Limited (NYSE:BABA) is a leading e-commerce giant that is heavily tapping into AI, NLP, and machine learning to enhance customer support, text analysis, and translation. Alibaba Cloud’s full-stack offerings allow developers to leverage AI-ready infrastructure to build and optimize foundation models and GenAI applications, customize them based on business preferences, and deploy them at scale cost-efficiently. On the first day of the Lunar New Year, the company launched its Qwen 2.5 AI model, rivaling the recently launched DeepSeek-V3. The Qwen 2.5 is pre-training on large-scale multilingual and multimodal data to support natural language processing, text generation, AI tool use, and chatbot role-play.

On January 28th, Goldman Sachs reiterated a “Buy” rating on Alibaba Group Holding Limited (NYSE:BABA) and maintained a $117 target price per share. The brokerage highlighted the launch of the Qwen2.5-VL open-source AI model and how agile Chinese models and improvements in computing cost efficiencies offer more room for the adoption/exploration of AI applications and enhance the global growth potential for Chinese players. Analysts added that Alibaba Group Holding Limited (NYSE:BABA) stock’s current market capitalization has already priced in the unfavorable e-commerce competition.