Alibaba Group Holding Limited (NYSE: $BABA) has seen a notable increase in its stock price, rising by 2.4% as of January 17, 2025. Analysts and investors are optimistic about the company's prospects, with some predicting a potential upside of over 10% in a worst-case scenario. The sentiment surrounding Chinese stocks, including Alibaba, may improve under the incoming Trump administration, which could lead to further gains. Alibaba's shares outstanding have decreased to 2.26 billion from a peak of nearly 2.8 billion in 2022, indicating effective share buybacks at lower valuations. Analysts estimate that Alibaba will achieve earnings per share (EPS) of $10 next year, with a projected EPS growth of 13%. This could position the company's price-to-earnings (PE) ratio at 13x, suggesting a potential target price of $130, reflecting approximately 50% upside from current levels.