$BABA-W (09988.HK)$$Alibaba (BABA.US)$ [Share Link: Alibaba'...

Truist reiterated a Buy rating with a tp of USD130.

They believe BABA's transformation into a holding company should increase transparency and accountability, boost competitiveness and unlock shareholder value.

Wide application of Alibaba's generative AI model should drive operational improvements and growth.

A less hostile regulatory environment in China and prospects for several business units to IPO in the next 12-18 months bode well for BABA shares. They expect critical applications of Tongyi Qianwen in BABA's e-commerce, cloud computing, logistics, entertainment, and social media platforms to drive product improvement and demand generation.