Alibaba’s (NYSE:BABA) Cloud business has announced that it will reduce the prices of products powered by offshore data centers by around 59%. Alibaba Cloud, which offers cloud computing services, is preparing to compete against rising competition and attract AI software developers.
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Moreover, the company stated that computing, storage, network, database, and big data products will undergo an average price drop of 23%. These lowered prices mark Alibaba Cloud’s third price reduction initiative within the past year. The company previously cut its prices for domestic users in February this year.
Is BABA a Buy, Sell, or Hold?
Analysts remain bullish on BABA stock, with a Strong Buy consensus rating based on 15 Buy recommendations and three Holds. Despite BABA’s decline of over 25% in the past year, the average BABA price target of $104.66 indicates an upside potential of 46.1% from current levels.
