Morgan Stanley analyst Gary Yu raised the firm’s price target on Alibaba to $115 from $90 and keeps an Equal Weight rating on the shares while previewing the Q2 results. The firm is keeping a conservative view on Alibaba given weak consumption and reinvestments continuing to weigh on earnings, the analyst tells investors in a research note. Morgan Stanley expects Gross Merchandise Value to be up 4%-5% year over year vs. high single digits in Q1 and expects faster customer management revenue growth of 2%-3% vs. 0.6% in Q1, aided by software service fees.
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