Alibaba Group (Nasdaq: BABA) shares were at $135 at press time, in pre-market trading on September 1, 2025, a 12.90% daily gain on Wall Street. Meanwhile, its Hong Kong-listed stock soared over 19% as investors cheered the company’s strong quarterly performance, as reported by Bloomberg.
The rally pushed Alibaba shares closer to its 52-week high of $148.43, well above the recent low of $80.06, highlighting renewed investor confidence. The stock’s trading volume in New York surged to 82.16 million shares, far above the typical 15 million daily average.
The surge follows Alibaba stock’s June-quarter results, where revenue reached 247.65 billion yuan ($34.73 billion). It is a 2% year-on-year increase but slightly shy of analyst expectations. Net income of the company, however, jumped an impressive 78% annually, surpassing forecasts.
Here is Alibaba share price chart on TradingView showing gains of 12.90% at press time:
Alibaba’s cloud computing unit was the star performer, recording a 26% revenue increase, its fastest growth pace in several quarters. This momentum is largely attributed to soaring demand for AI-related products, which have posted triple-digit sales growth for eight consecutive quarters.
Investor enthusiasm also intensified after reports revealed that Alibaba is working on a new AI chip. This move is expected to strengthen the company’s foothold in the fast-growing artificial intelligence market, directly rivaling US tech giants like NVIDIA. Meanwhile, its core e-commerce business is showing early signs of stabilization. However, heavy investment in China’s competitive instant commerce sector continues to weigh on near-term profitability.
Analysts remain optimistic on Alibaba shares’ trajectory. The stock has a market cap of $311.7 billion and a 12-month price target of $153. The company’s ability to sustain cloud growth and monetize AI innovations is seen as key to unlocking further upside. For now, Wall Street appears comfortable allowing Alibaba room to invest aggressively in future growth engines. Investors appear confident about the stock’s long-term returns.
Also Read: Alibaba Stock Analysis: Impact of AI Chip Testing on Market Performance