Alibaba Likely to Benefit From Partnership With Apple — Market Talk

What happened

Citi analysts said Alibaba is likely to benefit from its partnership with Apple, which selected Alibaba's Qwen models to power Apple Intelligence in China. Citi maintains a buy rating and a US$193.00 target price, while Alibaba's ADRs last traded at US$98.04.

Confirmed

Global impact / market context

The Apple deal could bring Alibaba more cloud computing demand, which means businesses paying for data storage and processing power, supporting revenue growth. It also signals that Alibaba's Qwen artificial intelligence models are trusted by a major foreign company, which may strengthen its competitive position in China.

Analyst inference

Citi's buy rating and US$193.00 target price sit well above Alibaba's last American depositary receipt price of US$98.04, suggesting the broker sees significant upside. The note frames the Apple partnership as evidence of Qwen's leadership among China's foundation models, a point investors may weigh against current valuations.

Analyst inference

What to watch

1. Citi maintains a buy rating and a US$193.00 target price on Alibaba, while its American depositary receipts last traded at US$98.04, a wide gap worth tracking as the Apple partnership develops. Confirmed
2. Watch whether Alibaba discloses new cloud contracts or customer additions tied to Apple Intelligence in China, since Citi expects the partnership to generate incremental cloud demand. Proposed
3. Track whether other global companies choose Qwen models, which would reinforce the leadership signal Citi cites and could support Alibaba's revenue and investor positioning over time. Analyst inference

Evidence

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