US Stock Market Move | Alibaba Group Holding Limited Sponsored ADR (BABA.US) rose more than 2% Goldman Sachs Group, Inc.: Full-stack cloud vendors are welcoming new growth opportunities

On Wednesday, Alibaba Group Holding Limited Sponsored ADR (BABA.US) rose more than 2% to $166.10. In a recent report, Goldman Sachs Group, Inc. stated that full-stack cloud vendors, represented by Alibaba Group Holding Limited Sponsored ADR, are facing new growth opportunities thanks to the accelerated adoption of large models by enterprises and the continuous strong demand for computing. Goldman Sachs Group, Inc. believes that Alibaba Group Holding Limited Sponsored ADR is in a favorable position with its leading model capabilities, 47% market share in the Chinese public cloud market, and diversified chip supply, and has room for international expansion. Based on their optimistic outlook for the industry, Goldman Sachs Group, Inc. raised the target price for Alibaba Group Holding Limited Sponsored ADR from $163 to $179 and maintained a "buy" rating. They specifically increased their valuation of Alibaba Cloud from $36 per ADS to $43 and raised growth expectations for Alibaba Cloud in the second to fourth quarters of fiscal year 2026. Goldman Sachs Group, Inc. analysts emphasized that Chinese cloud vendors are making progress in self-developed inference chips and adopting a "multi-chip strategy," meaning that the growth of the Chinese AI cloud industry is no longer solely relying on overseas chip supply. This shift, combined with strong capital expenditure prospects, is bringing compound growth potential to the industry.