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Alibaba a 'home run,' goes higher, Cramer says

Barclay's initiated coverage on Alibaba Group with a "buy" rating, yet another reason to like the Chinese e-commerce giant's stock, CNBC's Jim Cramer said Thursday.

Across the board, the Internet retailer's numbers have been "extraordinary," Cramer said. Unlike rival Amazon.com, Alibaba is not only flush with cash, but "lucrative" because it invests in a variety of things, like a competitor of ride-share service Uber.

In turn, Cramer thinks BABA "goes higher," possibly to $120 a share in the near future.

"One of the reasons why Alibaba has been such a home run is that it's got 40 percent growth ... and it sells at 30 times 2016 numbers," Cramer said on "Squawk on the Street."

"With a 40 percent rate, these growth guys are willing to pay at least 1 times growth rate," he said. "So you could easily see the stock go to $120, which is what they're really implying."

DISCLOSURE: When this story was published, Cramer's charitable trust did not own Alibaba Group or Amazon.com.