- HSBC analyst Charlene Liu cut the price target on Baidu Inc (NASDAQ:BIDU) to $180 from $195 (31.3% upside) and kept a Buy rating on the shares.
- The analyst now assumes a worse impact from COVID-19 on the company's core ad and cloud businesses and margins, seeing a recovery only in Q4.
- Liu reduced the price target on Alibaba Group Holding Ltd (NYSE:BABA) from $168 to $156 (49.3% upside) and maintained a Buy.
- Also Read: Here's Why Alibaba's Stock Didn't Get a Boost Despite Big Share Buyback
- China just cracked down upon abuse of algorithms by internet giants and questioned Alibaba and others over their job cuts.
- Benchmark and Citi analysts also slashed their price targets on Alibaba to reflect China's Covid induced disruption.
- The dwindling fortunes of the Chinese tech shares recently prompted concerns over the Alibaba stake selloff by SoftBank Group Corp (OTC: SFTBY) (OTC: SFTBF).
- Price Action: BABA shares traded higher by 0.74% at $105.04 on the last check Friday.
