Alibaba Group (BABA) Down 30% YTD, Faces Mounting Pressure From Geopolitical Risks and Regulatory Scrutiny Alibaba Group Holding Limited (NYSE:BABA) has declined more than 30% year-to-date, but the street expects more than 78.29% upside from the current level.
Alibaba Group Holding Limited (NYSE:BABA) also ranks among our list of Stocks Expected to Bounce Back According to Analysts
The stock has mainly declined largely due to mounting pressure from geopolitical risks and domestic regulatory scrutiny. Analysts remain optimistic on the company’s potential, driven by a triple-digit growth in AI-related product revenue in Q4 2026, marking the 11th consecutive quarter of such growth. Recently, on June 16, Reuters reported that the company revealed its first-ever suite of AI model robots.
This move comes as the Chinese AI industry shifts from chatbots to more lucrative AI agent businesses that can do complex tasks and are considered more intelligent machines. Earlier, on May 14, Benchmark had reiterated a Buy rating and a $220 price target on Alibaba Group Holding Limited (NYSE:BABA). The firm cited the company’s fiscal Q4 2026 results as its reason for bullishness.