Alibaba, On Holding lead premarket stock moves on outlook and buyback updates

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Alibaba, On Holding premarket moves

Highlights

Alibaba shares rise over 3% after CEO Eddie Wu announces plans for 20+ GW global data centers by 2032 and unveils Zhenwu V900 chip.
On Holding jumps more than 6% on setting CHF5.6 billion net sales target by 2029, 65% gross margin goal, and $1 billion buyback plan through 2029.
Quest Diagnostics and Labcorp Holdings each drop more than 5% as Medicare moves to align laboratory payments with private payor rates, signaling future reimbursement pressure.

Company updates drive early gains

As reported by CNBC, Alibaba shares rise more than 3% after Chief Executive Eddie Wu says at the company’s Apsara Conference that Alibaba Cloud plans to operate more than 20 gigawatts of data centers globally by 2032, according to FactSet. He also launches the Zhenwu V900 chip, adding a product catalyst to the company’s cloud expansion plan.

Vicor shares rally 9% after the power electronics company issues third quarter guidance forecasting sequential revenue growth of more than 20% quarter over quarter, compared with prior guidance of nearly 10%. On Holding climbs more than 6% after setting new midterm financial targets at its Investor Day, including absolute net sales of at least CHF5.6 billion by 2029 and a gross profit margin of 65% throughout the period.

On also says it will repurchase up to $1 billion in Class A ordinary shares by December 2029 and reiterates its full-year 2026 outlook. GameStop gains 3.5% after Chief Executive Ryan Cohen discloses a purchase of 1.2 million shares.

Medicare payment shift hits diagnostics stocks

Quest Diagnostics and Labcorp Holdings each fall more than 5% after the Centers for Medicare & Medicaid Services releases a report showing Medicare has been paying 16% more for laboratory services than private payors. The federal agency says it will align most Medicare payments with private sector rates.

The move points to potential reimbursement pressure for diagnostics providers that rely on government payment schedules. In early trading, that policy signal weighs on sentiment across the laboratory services segment even as investors favor companies offering clearer growth targets, capital returns or upgraded guidance.

In our earlier article on Alibaba’s Apsara Conference announcements, we covered the company’s plan to scale Alibaba Cloud’s global data-center capacity to more than 20 gigawatts by 2032 alongside the unveiling of its Zhenwu V900 AI chip. We also noted how Alibaba tied the infrastructure push to its broader roadmap for next-generation Qwen models as competition for computing power accelerates across the sector.

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