$BABA | 𝐀𝐥𝐢𝐛𝐚𝐛𝐚 (BABA): Morgan Stanley reiterates 𝐎𝐯𝐞𝐫𝐰𝐞𝐢𝐠𝐡𝐭, maintains 𝐏𝐓 𝐚𝐭 $𝟏𝟖𝟎. “China’s Best AI Enabler” — AliCloud’s unique GPU access & AI-driven e-comm lift support bullish case. https://t.co/lnryW5la8S
$BABA: 'China's Best AI Enabler' PT $180 Morgan Stanley
Alibaba says AI-generating search results could not only reduce reliance on Google's APIs, but cut costs by up to 88%. https://t.co/oAhURoTWWX
Monday.com Ltd. (ticker: MNDY) reported strong financial results for the first quarter of 2025, with revenue of $282.3 million, representing a 30% year-over-year increase and surpassing analyst estimates of $276 million. The company achieved a GAAP earnings per share (EPS) of $0.52 and an adjusted EPS of $1.10, well above the expected $0.70. Operating income reached $41 million, exceeding the estimated $27 million, and GAAP operating income was $9.8 million compared to a loss of $5 million in the prior year. Monday.com also reported growth in its customer base, with 1,328 customers generating more than $100,000 in annual recurring revenue (ARR), up 46% year-over-year, and 3,444 customers with ARR above $50,000, up 38% year-over-year. The company raised its full-year 2025 revenue guidance to between $1.22 billion and $1.23 billion, up from previous estimates of $1.21 billion, and expects non-GAAP operating income of $144 million to $150 million, higher than prior guidance. Additionally, Monday.com generated its highest ever cash flow for a single quarter. Following these results, Goldman Sachs increased its price target for Monday.com shares to $350 from $320 and reiterated a Buy rating, citing multi-product execution, enterprise growth, and AI traction as drivers of the company's upside potential. Separately, Alibaba Group Holding Limited (ticker: BABA) announced advancements in artificial intelligence (AI) technology with its new ZeroSearch method, which reportedly reduces AI training costs by 88%. This innovation transforms a reference AI model into a search engine capable of training other AI systems to answer queries, reducing reliance on costly external search infrastructure. Alibaba’s chairman emphasized AI as a core growth engine for the company’s e-commerce and cloud businesses. Morgan Stanley maintained an Overweight rating on Alibaba with a price target of $180, highlighting AliCloud’s unique GPU access and AI-driven e-commerce growth as key factors supporting the bullish outlook.
