On May 15, Alibaba-W declined 3.19% in regular trading, trading at 133.7 HKD/share, with trading volume of 5.075 billion HKD. The stock continued to face selling pressure following the release of its FY2026 full-year and Q4 earnings on May 13.
The earnings report revealed significant profit deterioration alongside modest top-line growth. Q4 revenue came in at 243.38 billion RMB, up only 3% YoY, while adjusted EBITA plunged 84% YoY to 5.102 billion RMB. Net profit declined 19% YoY to 102.127 billion RMB for the full year. The sharp margin compression stems from aggressive AI infrastructure investment — cloud external revenue growth accelerated to 40%, with AI-related product revenue reaching 8.971 billion RMB, marking an 11th consecutive quarter of triple-digit growth. However, the company's core operations generated minimal profit after stripping out investment gains and one-time items.
The broader Internet and Direct Marketing Retail sector also traded lower, with Meituan-W down 3.09%, Ali Health down 6.83%, JD-SW down 1.69%, JD Health down 5.50%, and PA Good Doctor down 3.36%.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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