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Alibaba Q4 Earnings Due Tuesday: Spotlight On E-Commerce Business, Cloud Business, AI Initiatives
Alibaba Group Holding Limited (NYSE:BABA) shares have been on a broad consolidation move since bottoming in late October 2022. The company is still reeling from the impacts of regulatory clampdowns and lackluster domestic economic growth. As the Jack Ma-founded company prepares to release its fourth-quarter results Tuesday before the markets open, here’s a look at how the company is positioned for the near- and medium-term.
Protracted Downturn: From a peak market cap of $858.50 billion in late October 2022, Alibaba’s valuation has plummeted. As of Friday’s close, its market cap was at $194.79 billion. The decline began when the Chinese government initiated a crackdown on mega-cap tech companies, citing concerns that their significant growth granted them monopolistic power.
Source: Y Charts
It all started with Ma taking on the Chinese Communist regime by criticizing banking regulations, a day after Alibaba’s sister concern Anti Financial priced its initial public offering. Repercussions soon followed. The company was slapped with ...