July 28 – Shares of Alibaba (NYSE:BABA) climbed about 2% in early trading Monday after the e?commerce giant unveiled its first AI?powered smart glasses.
The Quark AI Glasses will arrive in China by year?end 2025, featuring hardware driven by Alibaba’s Qwen large language model and its Quark AI assistant. Users can make hands?free calls, stream music, translate languages in real time and transcribe meetings via a built?in camera.
Wearables stand as the next frontier alongside smartphones, and Alibaba aims to embed Quark more deeply into daily life. The glasses integrate with the company’s ecosystem, offering navigation, Alipay payments and Taobao price comparisons without a phone.
Alibaba faces a direct rivalry with Meta (NASDAQ:META) that partnered with Ray?Ban on its smart eyewear, and Chinese tech giant Xiaomi, whose own AI glasses appeared in early 2022.
Hangzhou-based company has not disclosed the pricing or detailed specifications of the product, but the move highlights its aim at targeting consumer-level hardware and AI services. Shareholders will monitor how the new product can enable Alibaba to build a revenue diversification policy and strengthen revenues in its huge technology lineup.
Based on the one year price targets offered by 38 analysts, the average target price for Alibaba Group Holding Ltd is $149.53 with a high estimate of $176.15 and a low estimate of $102.26. The average target implies a upside of +24.57% from the current price of $120.03.
Based on GuruFocus estimates, the estimated GF Value for Alibaba Group Holding Ltd in one year is $111.74, suggesting a downside of -6.91% from the current price of $120.03. Gf value is Gurufocus’ estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business’ performance. For deeper insights, visit the forecast page.
This article first appeared on GuruFocus.