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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
Amid ongoing geopolitical tensions between US and Chinese companies in the AI sector, Alibaba (BABA) experienced a sharp selloff recently, exacerbated by Anthropic's accusation that Alibaba distilled its proprietary AI models. According to reports, these allegations added to existing headwinds including rising memory costs and massive data center spending in China.
Despite Alibaba's AI business growing at triple-digit rates, the stock has become the cheapest since early 2025, per market data. At the June 30 close, BABA on NYSE traded at $95.98 (range $94.36–$96.96), while the Hong Kong-listed shares (9988.HK) closed at HK$92.85. Analysts note that ongoing buybacks and cheap valuation provide some support against selling pressure.
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Sign InTechnically, the stock is hovering near its session low of $94.36, with the $90 level seen as key support. Traders are watching developments in the Anthropic legal dispute and its impact on Alibaba's AI ambitions, as well as any updates on the buyback program's pace, which could cushion further downside.