Morgan Stanley Cuts Alibaba Target to $150 — But a $433.5M Payout Is Still on the Table

Court: S.D. New York

Case: 1:20-cv-09568

Alibaba BABA is still rated “Overweight” by Morgan Stanley, but the firm just slashed its price target from $180 to $150, citing rising investment costs — particularly 10B yuan in instant commerce that could peak at 20B in the next quarter.

Despite that, analysts remain bullish, highlighting 22% expected growth in Alibaba’s cloud revenue and calling the company their top AI enabler. BABA currently trades near $108, with a strong balance sheet and a P/E ratio around 15. Even with some short-term margin pressure, Alibaba’s long-term AI and e-commerce positioning remains intact.

BABA

As analysts adjust price targets, some investors may be eligible for a payout from Alibaba’s $433.5 million legal settlement tied to the collapse of Ant Group’s IPO and regulatory fallout.

• July 2020: Ant Group announces record $30B IPO.
• Nov 2, 2020: Executives summoned by Chinese regulators.
• Nov 3, 2020: Ant IPO suspended; BABA drops 8.1%.
• Dec 2020: China opens antitrust probe; BABA drops 13%.
• Apr 22, 2022: Investors file suit over lack of disclosure.

• Alibaba settled for $433.5 million earlier this year.
• If you held BABA during the affected period, you may still qualify.
• Late claims are currently being accepted.
• Payouts typically take 8–12 months after court approval.

You can check more information about it and file for a payout HERE.

Are you following BABA’s long-term AI strategy? Or filing a claim while the company balances growth and its legal past?