Alibaba shares could see a 34 percent rally with the company's cloud division driving a "re-rating" of the stock, analysts said, following strong earnings from the Chinese tech titan.
On Thursday, Alibaba reported fiscal first quarter revenue of $7.51 billion, a 56 percent year-on-year rise, helping it to beat market expectations.
Strength in the core e-commerce business as well as continued strength in cloud and digital entertainment and media helped the firm.
Alibaba has been one of the most-loved stocks by Wall Street with shares up more than 86 percent year-to-date. And it seems that analysts don't think this story is over.
A host of brokers raised their price targets for the stock following the results which were substantially higher than the $163.92 it closed at on Thursday. Nomura raised its price target from $170 to $201, Deutsche Bank lifted its one from $201 to $208, while Daiwa Capital Markets expects a handle of $205.