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<Research>BOCOMI Foresees Alibaba Cloud Rev. Growth to Expedite; Rating Kept Buy
BOCOM International released a research report, covering BABA-W (09988.HK)(BABA.US), which logged a 7% YoY revenue growth for 4QFY25 ending March 31, 2025. Stripping off SUNART RET...
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<Research>BOCOMI Foresees Alibaba Cloud Rev. Growth to Expedite; Rating Kept Buy
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BOCOM International released a research report, covering BABA-W (09988.HK)  +0.700 (+0.575%)    Short selling $180.45M; Ratio 5.725%   (BABA.US)      , which logged a 7% YoY revenue growth for 4QFY25 ending March 31, 2025.

Stripping off SUNART RETAIL (06808.HK)  +0.110 (+5.670%)    Short selling $1.82M; Ratio 1.633%   and Intime, revenue climbed 10%, topping the broker's 8% forecast. During the period, adjusted EBITA added 36% YoY, while adjusted EPS lifted 23%, short of street consensus.

Related NewsMacquarie Recommends Buying BABA-W on Dips; Rating Reiterated as Outperform
Looking ahead, BOCOM International anticipated accelerated revenue growth for Alibaba Cloud in FY2026, projecting 19% growth in the first quarter and 20% for the full year, with margins remaining in the high single-digit percentage range.

However, in light of fluctuating investments in TTG (Taobao and Tmall Group), BOCOM International forecast the group's adjusted EBITA to be impacted. The broker expected revenue growth of 5% and 9% for FY2026 and FY2027, respectively, with profit growth of 4% and 14%.

The broker maintained a Buy rating on BABA-W with an unchanged H-share target price of HKD159.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-05-21 12:25.) (Real-time Streaming US Stocks Quote; Except All OTC quotes are at least 15 minutes delayed.)

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