Loop Capital analyst Rob Sanderson keeps a Buy rating and $135 price target on Alibaba after its announcement that the company plans to reorganize into six business units – each to be independently managed and potentially seek its own IPO. The analyst states that the low end of Loop’s updated framework suggests a "very strong case" for event-driven upside as management implements its restructuring plans. Loop further states that the public market valuation of the subsidiaries will shine light on how inexpensive the Alibaba operating units and financial assets are in aggregate.
Published first on TheFly
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