Alibaba Invests $281 Million in Instant Delivery Expansion Amid Surging Stock Performance

Alibaba Group Holding Limited (BABA) has committed 2 billion yuan ($281 million) to upgrade local convenience stores under its Taobao brand, accelerating its push into China's booming instant commerce sector. The initiative leverages existing retail infrastructure rather than new construction, with partner stores gaining access to Alibaba's wholesale platform 1688.com and Aoxiang supply chain services.

The company's Taobao Shangou platform now handles 120 million daily orders for 300 million monthly active users, reflecting intense demand for rapid delivery services. Alibaba's stock has more than doubled year-to-date, buoyed by cloud computing growth and this e-commerce expansion.

Wall Street maintains a Strong Buy rating with a $198.21 average price target, anticipating 16.3% upside potential. Analysts project Q2 FY26 earnings of $0.85 per share on $34.36 billion revenue as Alibaba positions itself at the intersection of digital infrastructure and last-mile logistics.