Citi Keeps Buy Rating on Alibaba (BABA) Despite White House Memo

Alibaba Group Holding Limited (NYSE:BABA) is one of the Chinese tech stocks to buy now. On November 17, Citi analysts said they consider the White House memo, which alleges ties between Alibaba Group Holding Limited (NYSE:BABA) and the Chinese military, as a short-term overhang on the company’s stock rather than a long-term risk. Accordingly, the analysts reiterated a Buy rating on Alibaba shares and maintained the $218 price target. In the analysts’ view, any potential selloff stemming from the memo is a buying opportunity.

Independently of the analyst action, Alibaba’s Qwen AI app, a generative AI-driven consumer assistant, logged over 10 million downloads within the first week of its public beta launch. The app launch is Alibaba’s answer to Google’s Gemini and OpenAI’s ChatGPT, and the company described it as the best personal AI assistant with the most powerful model. Qwen AI app is currently available on mobile and web, with plans for an international rollout.

Alibaba Group Holding Limited (NYSE:BABA) is a leading Chinese technology conglomerate. It operates across e-commerce, cloud computing, digital media, and AI, with flagship platforms such as Taobao, Tmall, and Alibaba Cloud. The company is also investing in autonomous driving and smart logistics.

While we acknowledge the potential of BABA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.