Why Alibaba Stock Is Sinking Today
From Nasdaq: 2025-05-15 12:53:00
Shares of Alibaba (NYSE: BABA) dropped 7.9% due to disappointing quarterly earnings. Net income of $1.71 million was well below the expected $2.93 billion, with revenue growing only 7% to $32.58 billion. The slower growth rate raises concerns about Alibaba’s future amid increased competition and economic challenges.
Despite short-term struggles, Alibaba is investing in AI for long-term success. With a lower P/E ratio compared to Amazon, the stock may be attractively priced. However, it’s worth noting that the Motley Fool Stock Advisor team did not include Alibaba in their list of top 10 stocks to buy now, suggesting other options for potential better returns.
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