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.
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.
