Alibaba: Jefferies maintains 'buy' rating
(CercleFinance.com) - Jefferies maintains a "buy" rating on Alibaba, with a target price of 225 dollars, after the Chinese ecommerce giant announced on Monday the succession plan for chairman Jack Ma.
Alibaba's co-founder and executive chairman has announced his plan to step down on 10 September 2019, with current CEO Daniel Zhang designated to succeed him as chairman.
"We believe the 12-month time frame and his retention of a permanent role in Alibaba Partnership should enable a smooth transition with lower "key man risk" following the reduced role of Jack Ma," the broker wrote in a note.
The analyst also believes that, by retaining a permanent role in Alibaba Partnership, which currently consists of 36 members across the company's different business units, Jack Ma will maintain an influential role in the company's culture and ecosystem.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
Alibaba's co-founder and executive chairman has announced his plan to step down on 10 September 2019, with current CEO Daniel Zhang designated to succeed him as chairman.
"We believe the 12-month time frame and his retention of a permanent role in Alibaba Partnership should enable a smooth transition with lower "key man risk" following the reduced role of Jack Ma," the broker wrote in a note.
The analyst also believes that, by retaining a permanent role in Alibaba Partnership, which currently consists of 36 members across the company's different business units, Jack Ma will maintain an influential role in the company's culture and ecosystem.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.