Alibaba Group (ADR) (BABA)

Alibaba's price sits about 15% below where it averaged over the past year.

What is going on right now?

The stock has drifted lower over the past month, losing roughly a thirtieth of its value, while trading volume has run about 50% above its usual pace.

How is the business itself doing?

Sales grew about 9% recently, but profits dropped sharply, falling nearly 80% compared to the year before. The company is spending heavily, and its cash outflows reached $82.6 billion, meaning it burned far more cash than it brought in.

What stands out?

That profit drop is striking next to still-growing sales. Alibaba earns about 7 cents of profit on every dollar of revenue, which is thin for a company this size.

What comes next?

Meta just raised its 2026 spending on artificial intelligence to $145 billion, which may increase demand for cloud services. Alibaba's own cloud business could feel that ripple.