Comment on Even Alibaba Isn't Immune to the Consequences of Heavy Investing

Even Alibaba Isn't Immune to the Consequences of Heavy Investing

Alibaba's (NYSE: BABA) spending had investors excited when the company was able to maintain its profit and margins. But now its heavy investing is causing some raised eyebrows after the Chinese retail giant reported a drop in net income and a shrunken operating margin. The company didn't shy away from talking about its spending habits, even warning investors during the fiscal fourth-quarter earnings call that it intended to continue the heavy investing trend.

 

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