Alibaba disappoints with lower profits and sales - expert analyzes the consequences

Alibaba disappoints with lower profits and sales - expert analyzes the consequences

According to a report by finanzen.net, the Chinese retail giant Alibaba has published its business figures for the past quarter. Earnings per share of 2.37 yuan were below the previous year's level and narrowly missed analyst expectations of 2.39 yuan. Sales were also slightly lower than expected at 260.3 billion yuan. Despite these figures, the company announced that it would expand its share buyback program. Alibaba shares closed trading on the NYSE with a loss of 5.87 percent at $73.64.

These numbers show Alibaba's slight underperformance compared to analyst expectations. Missing profit and sales expectations could lead to investors becoming more cautious and confidence in the company decreasing. This, in turn, could impact Alibaba's share price and market capitalization.

However, the announcement of expanding the share buyback program may be a positive signal for shareholders as they may benefit if the company buys back its own shares at a lower price.

Overall, these figures and announcements could lead to increased volatility and uncertainty in the stock market. Investors should keep a close eye on developments at Alibaba as they could impact the entire Chinese and even global technology market.