Why Alibaba Shares Are Falling Today
Shares of Chinese e-commerce giant Alibaba Group Holding (NYSE: BABA) are trading 5.5% lower at 3:15 p.m. EDT. The company released its fourth-quarter 2021 results early Thursday morning, beating some analyst targets but falling short in other ways. All things considered, investors were underwhelmed by Alibaba's effort.
Sales jumped 78% higher year over year, landing at $28.6 billion. Earnings increased from $1.30 to $1.58 per diluted American depositary share (ADS). Analysts were expecting earnings of roughly $1.79 per ADS on revenue in the neighborhood of $28.1 billion. In that light, this was a mixed report. Looking ahead, Alibaba expects full-year sales to rise by approximately 30% in 2022, as measured in local currencies. By comparison, Alibaba's revenue increased by 32% in 2021 when adjusted for currency translation and the $3.6 billion buyout of Chinese supermarket chain Sun Art.
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Source Fool.com
