New Street: BABA FY4Q21 Results - Stepping Up in Investments
What's new: Alibaba’s reported FY4Q21 top-line results were above consensus and our estimates. BABA plans to invest all of the incremental profits and additional capital in FY22 to provide support to merchants and invest in new initiatives and strategic areas such as Community Marketplaces, Taobao Deals, local consumer services, and Lazada. We lower our PT from USD300 to USD250 as investment cycle could last beyond FY22. We also see limited multiples upside due elevated competition and structural revenue mix concerns. Our PT of USD250 implies a 23.4x P/E on our FY22 estimates.Analysts:
Jin Yoon
Provided by our team of experienced analysts, our work is idea driven, based on independence of thought, sector expertise, and firmly focussed on fundamentals and valuation.
New Street Research is an independent, partner-owned, research firm specialising in equity and debt research. Our equity research embraces the following sectors:
- Pan European Telecom Services and Cable
- US Telecoms, Cable, Satellite and Towers
- Global Emerging Market Telecoms
- Japan Telecoms
- Asian Internet
- Pan European Healthcare
- Global healthcare thematic research
We provide debt research on:
- Pan European Telecom Services and Cable
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.