Alibaba Group Holding Ltd. (BABA) — closed signal from July 16, 2025
Target reached Published before the outcome was known, scored automatically when the window closed on October 14, 2025.
Predicted vs. what happened
What happened
Reached its target in 55 days.
The thesis — published July 16, 2025
Alibaba’s share price recently climbed past its recent average price with about 70% more buying than usual, helped by news that its MiniMax AI spin-off plans to go public and by landing a $5 billion cloud deal. Even after the jump, the stock is priced at just 11 times next year’s earnings, roughly 40% cheaper than similar firms, while sales on its sites keep growing and US-China relations look a bit warmer. If no new political flare-ups occur, the market could value it near $140 in the next three months.
Primary drivers
- Price rising past recent average with 70% extra buying hints the downtrend may be over.
- Planned MiniMax listing and a $5 billion cloud contract boost the company’s AI story.
- Shares cost 40% less than rivals when comparing next year’s expected profits.
- Easing US-China tension is bringing more overseas money into Chinese tech funds.
How it played out
BABA: target reached in 55 days
Lyra published BABA at 116.97 on July 16, 2025, with expected growth of 23%. The thesis pointed to price strength with 70% extra buying, a planned MiniMax listing, a $5 billion cloud contract, a 40% discount to rivals on next year's expected profits, and easing US-China tension.
Inside the window, BABA reached the 143.87 target in 55 days. It later peaked at 192.67 on October 2, with a peak gain of 64.7%. It ended the window at 162.86. The thesis played out and then went further than the target.
What happened during the window
On August 29, 2025, Alibaba reported June-quarter results. The report said adjusted net profit fell 18% to 33.51 billion yuan, while net profit rose 78% to 43.12 billion yuan.
Prices are shown split- and dividend-adjusted, matching what public charts show today.
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This is one signal, scored after the fact. Today’s picks come with the same plain-language thesis — published before anyone knows the outcome.