Earnings Reports to Watch: Alibaba (BABA)
Alibaba Group Holding Ltd (NYSE:BABA), on the other hand, is all about the retail environment in China, where the company has become a proxy on the entire consumer economy.
We’re looking for a “conservative” 25%-30% growth Thursday morning, but once again, this is not a season where you want to get stuck in a stock that disappoints, even if the miss is only a currency rounding error.
My fear here is that a few expectations on BABA have become artificially inflated after converting yuan to dollars, so even if Jack Ma hits the target on Shanghai he may still have to eat a lot of red ink on Wall Street.
Still, if the company meets its mark, it’s good news for those who’ve been worried about conditions in China.