Why Alibaba Stock Was Gaining Today
Shares of Alibaba (NYSE: BABA) were moving higher on reports that it's planning to increase a service fee for merchants. The news was enough to lift shares of the struggling Chinese e-commerce stock by 3.2% as of 10:45 a.m. ET.
According to media reports, Alibaba will begin charging a basic software service fee of 0.6% on transactions for vendors on both its Tmall and Taobao marketplaces. The move leverages the company's leading e-commerce platforms and follows a similar tactic that Amazon has used, tacking increased fees on merchants who have little choice but to pay them.
Image source: Alibaba.
Source Fool.com
Alibaba Group Holding Ltd ADR Stock
€118.20
3.320%
The stock is an absolute favorite of our community with 40 Buy predictions and no Sell predictions.
With a target price of 157 € there is a positive potential of 32.83% for Alibaba Group Holding Ltd ADR compared to the current price of 118.2 €.
