Alibaba Stock Price Surges Ahead of Earnings on Wednesday

Alibaba released its earnings on Wednesday when the Chinese stock market saw stimulus support. 

BABA – Daily Chart

BABA – Daily Chart 

BABA stock surged from recent lows to $78.33 on the US exchange. The share price can test resistance at the $80 level. 

According to the expectations of analysts surveyed by FactSet, Alibaba is expected to report earnings of 2.39 Chinese yuan per share on revenue of 261 billion yuan ($36.7 billion) in the December quarter. According to estimates, the results would be a 1% decline in earnings from a year earlier, with a gain of 5% in revenue. 

China’s economic slowdown has hit the company’s core e-commerce business hard over the past year. Alibaba has seen pressure from consumers less willing to spend money and competition from rivals such as PDD. After Beijing’s regulatory crackdown on tech and COVID-19 lockdowns, Alibaba has had a tough few years.  

The beginning of 2024 has brought a few changes. Chinese stocks remain volatile as investors worry about the economy and hope the government will conduct a strong stimulus effort. Investors will also be keen to see progress on Alibaba’s Alibaba’s cloud computing and artificial intelligence efforts. Exports of high-tech chips to China have slumped after geopolitical tensions with the US, hampering Alibaba’s cloud and AI division and its plans to spin off the business. 

Investors should examine the recent bottom in Chinese stocks, which could result in a solid foreign investment. A stronger-than-expected earnings result could be a price driver for Alibaba stock.

Recent News
Start Trading Now!

Try our demo account for free to learn trading. When you’re ready, switch to the live account and start trading for real.

Popular posts

ATFX

The Firm has taken the decision to cease providing services to retail clients, with immediate effect. We are therefore unable to accept any applications.

Services to professional clients will not be impacted. For professional applications please contact [email protected]

ATFX

Restrictions on Use

Products and Services on this website https://www.atfx.com/en-ae/ are not suitable
in your country. Such information and materials should not be regarded as or
constitute a distribution, an offer, or a solicitation to buy or sell any investments.
Please visit https://www.atfx.com/en/ to proceed.

ATFX

使用限制

本网站的产品及服务不适合英国居民。网站内部的信息和素材不应被视为分销,要约,买入或卖出任何投资产品。请继续访问 https://www.atfx.com/en/

ATFX

Restrictions on Use

Products and Services on this website are not suitable for the UK residents. Such information and materials should not be regarded as or constitute a distribution, an offer, or a solicitation to buy or sell any investments. Please visit https://www.atfx.com/en/ to proceed.

ATFX

Restrictions on Use

Products and Services on this website are not suitable for the UK residents. Such information and materials should not be regarded as or constitute a distribution, an offer, or a solicitation to buy or sell any investments. Please visit https://www.atfx.com/en/ to proceed.

ATFX

Restrictions on Use

Products and Services on this website are not suitable for Hong Kong residents. Such information and materials should not be regarded as or constitute a distribution, an offer, solicitation to buy or sell any investments.

使用限制: 本網站的產品及服務不適合香港居民使用。網站內部的信息和素材不應被視為分銷,要約,買入或賣出任何投資產品。

ATFX

Restrictions on Use

AT Global Markets (UK) Limited does not offer trading services to retail clients.
If you are a professional client, please visit https://www.atfxconnect.com/