Alibaba Dives 11% as Uncertainty About Growth Outlook Mounts
- Outlook fell short as quarterly sales numbers missed estimates
- China’s e-commerce leader struggling with slowing consumption
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Alibaba Group Holding Ltd. fell 11%, the most since its debut in Hong Kong, after a cut in its fiscal 2022 outlook spurred concerns about intensifying competition and dwindling consumer spending in China.
The disappointing forecast followed sales that missed analyst estimates for a second straight quarter. Alibaba posted a less-than-expected 29% rise in revenue for the September quarter to 200.7 billion yuan ($31.4 billion). It forecast 20% to 23% growth in fiscal 2022 revenue, short of the 27% that analysts were projecting.