Read more about Alibaba reports first operating loss as a public company due to record fine on Business Standard. Alibaba forecast annual revenue to be 930 billion yuan ($144.12 billion) for the fiscal year ended March 2022, above analysts average estimate of 928.25 billion yuan.
May 13, 2021
SoftBank Group Corp. plunged by the most since the early days of the coronavirus pandemic after the company declined to pledge a continuation of buybacks that have propped up its stock.
Shares tumbled as much as 8.7% on Thursday, the most on an intraday basis since March 2020, despite record profit in the March quarter. The company has lost more than ¥6 trillion ($55 billion) in market value in the past three days. Investors are skittish about whether SoftBank will keep buying back its own stock after completing a ¥2.5 trillion allotment for repurchases. We believed that SoftBank would follow up its massive buyback with another one. But we are extremely surprised that it did not,” Atul Goyal, senior analyst at Jefferies, wrote in a research note. Without the buyback, SoftBank stock price is likely to reflect the performance of its listed investments.”
Provided by Dow Jones
By Stephanie Yang and Jing Yang Alibaba Group Holding Ltd. posted its first-ever quarterly loss since it went public after being hit by a record antitrust fine in China and pledged to invest future profits into improving its business and warding off competition. Over the past year, the Chinese e-commerce giant has been under pressure from both encroaching competitors and an antitrust investigation, which ruled that Alibaba had abused its dominant market position. In a Thursday earnings call, Chief Executive Daniel Zhang said the company would focus on bettering its platform following the fine. We have gone through all kinds of challenges including the Covid-19 pandemic, fierce competition as well as the antimonopoly investigation and the penalty decision by Chinese regulators, Mr. Zhang said. We believe the best way to overcome these challenges is to look forward and invest for the long-term.
By Josh Horwitz, Chavi Mehta
3 Min Read
(Adds CEO and analyst comments, background; updates share movement)
May 13 (Reuters) - China’s top e-commerce platform Alibaba Group Holding Ltd on Thursday posted its first quarterly operating loss since going public in 2014 due to a record anti-monopoly fine by the country’s market regulator.
Its U.S.-listed shares fell nearly 3% in choppy trading, even as the company forecast strong 2022 revenue, betting that the pandemic-driven shift to online shopping will remain resilient.
The outlook, however, was overshadowed by a regulatory crackdown in China that led to the suspension of a $37 billion IPO of its affiliate Ant Group and a $2.8 billion fine in April for anti-competitive business practices.
Is BABA at a Bottom? The decline in Alibaba Group appears to be over, and the long-term uptrend should get going again. Stocks quotes in this article: BABA
A regular reader of
Real Money pointed out to me Thursday that it has been a while since I reviewed the charts of Alibaba Group Holding Ltd. (BABA) .
Fair enough the company has been in the news. BABA has been correcting its big advance from early 2016, so long-term investors should be getting anxious for its resumption. Let s check a few charts and indicators. In this daily bar chart of BABA, below, we can see that prices topped out in October. Prices declined to a late December low and then rebounded into February before drifting back to retest the December low. BABA is now below the declining 50-day moving average line and the declining 200-day moving average line.