NEW YORK (TheStreet) -- Alibaba Group Holding (BABA) - Get Report shares are falling by 1.63% to $65.83 on Friday, after Wedbush Securities earlier this morning lowered its price target to $75 from $80, voicing concerns about the impact of China's slowing economy.
The firm, which kept its "neutral" rating on the stock, said that the overall state of China will "continue to weigh on shares," despite the company offering a unique combination of size, growth and profitability.
It appears that Chinese consumer remains under pressure given deceleration of gross merchandise volume (GMV) and anecdotal evidence, analysts added.
Yesterday before the opening bell, the e-commerce giant reported third quarter fiscal 2016 earnings of 99 cents a share on revenue of $5.33 billion.
Both profit and sales topped analysts' projections of 88 cents a share on revenue of $5.1 billion.
Separately, TheStreet Ratings currently has a "Hold" rating on the stock with a letter grade of C-.
The company's strengths can be seen in multiple areas, such as its notable return on equity, robust revenue growth and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we find that the stock has had a generally disappointing performance in the past year.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: BABA