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 — +39.2% at the close.
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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