On Friday, Shares of Alibaba Group Holding Ltd (NYSE:BABA), dropped -4.13% and is at $81.69 in the Real-Time trading session, with the total volume of 24.36 Million shares, as contrast to its average volume of 17.63 million shares. The firm opened its current trade at $85.53, and as of now, it is trading at $81.87. . The stock is floating in a range of $80.77 - $86.35. The 52-week range of the share price is from $57.20– $120.00. The earnings per share(EPS) was $2.61. The stock has a P/E ratio of 31.32. The company has the total of 2.50 billion outstanding shares right now, while its market capitalization is about $205.57 billion.
The mean estimate for the short-term price target for the firm stands at $94.73, according to 42 brokers. The higher price target for BABA is $117.07, while the lower price target is $60.04.
Analysts mean recommendation for the stock is 1.80. This number is based on a 1 to 5 scale where 1 indicates a Strong Buy recommendation while 5 represents a Strong Sell.
According to news report, Alibaba Group Holding Limited (BABA) and Youku Tudou Inc. (YOKU) declared their entry into a definitive merger agreement following which an associate of Alibaba Group (“Alibaba”) will acquire Youku Tudou Inc., a leading multi-screen entertainment and media company in China (“Youku Tudou”), in an all-cash transaction (the “Transaction”).
Upon completion of the Transaction, the shareholders of Youku Tudou, other than the current investment entity controlled by Alibaba, will have the right to receive US$27.60 per American Depositary Share (“ADS”, each representing 18 ordinary shares of Youku Tudou) in cash. The price represents a premium of 35.1% over the closing price of Youku Tudou’s ADSs on October 15, 2015, one day preceding to the date that Youku Tudou declared it had received a “going private” proposal from Alibaba, and a premium of 49.9% to the volume-weighted average closing price of Youku Tudou’s ADSs during the three months preceding to October 15, 2015.
Youku Tudou’s board of directors (the “Youku Tudou Board”), acting on the recommendation of an independent special committee of the Youku Tudou Board (the “Special Committee”), unanimously approved the merger agreement and the Transaction and recommends that Youku Tudou’s shareholders vote to authorize and approve the merger agreement and the Transaction.
“We believe this combination with Alibaba maximizes value for Youku Tudou shareholders and significantly benefits our customers, users and team,” said Victor Koo, Chairman and Chief Executive Officer of Youku Tudou. “We are eager to work with Alibaba to grow our multi-screen entertainment and media ecosystem. We are confident that we will strengthen our market position and further accelerate our growth through the integration of our advertising and consumer businesses with Alibaba’s platform and Alipay services. With Alibaba’s support, Youku Tudou’s future as the leading multi-screen entertainment and media platform in China has been firmly secured.”
Morgan Stanley Asia Limited is acting as financial advisor to Alibaba. Simpson Thacher & Bartlett LLP is serving as U.S. legal advisor to Alibaba, and Fangda Partners and Walkers are serving as PRC legal advisor and Cayman Islands legal advisor, respectively, to Alibaba.
Youku Tudou Inc. (YOKU) is a leading multi-screen entertainment and media company in China. Youku Tudou is China’s leading Internet television platform, enabling users to search, view and share high-quality video content quickly and easily across multiple devices.
Alibaba Group’s mission is to make it easy to do business anywhere. The company is the largest online and mobile commerce company in the world in terms of gross merchandise volume. Founded in 1999, the company provides the fundamental technology infrastructure and marketing reach to assist businesses leverage the power of the Internet to establish an online presence and conduct commerce with hundreds of millions of consumers and other businesses.