On August 20, BABA-W rose 3.06% in regular trading, trading at HK$127.9/share, with turnover of HK$5.644 billion. The stock gained ahead of its quarterly earnings release scheduled for after today's market close.

Multiple catalysts converged to drive bullish sentiment. The company recently confirmed the sale of its gaming unit Lingxi Interactive to Trustar Capital for over US$1.5 billion, with proceeds earmarked for AI infrastructure investment. Meanwhile, its Qwen open-source AI models surpassed 3 billion global downloads over the past six months, overtaking Meta's Llama and Google's offerings on Hugging Face. Alibaba Cloud also launched its third data center in South Korea with Agentic AI services, expanding its global footprint to 30 regions and 104 availability zones.

Morgan Stanley's latest analysis highlighted Alibaba Cloud as best-positioned among Chinese cloud providers, projecting 13%-20% ROIC on AI compute infrastructure with a roughly three-year payback period and a 45% upside target. Noted investor Duan Yongping also disclosed a newly established position in Alibaba during Q2, reinforcing institutional confidence ahead of results.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)