Morgan Stanley lowers Alibaba's target price to $180, maintaining its overweight rating

Morgan Stanley has lowered Alibaba's target price from $190 to $180, maintaining its overweight rating. Morgan Stanley expects Alibaba's cloud business revenue to increase by 45% year-on-year in the June quarter, and has raised its revenue forecast for the 2027-2028 fiscal year by 2% to 3%. Morgan Stanley expects its other losses to narrow to RMB 16.5 billion in the first quarter of fiscal year 2027, with a total other loss of approximately RMB 72 billion for the year.