Alibaba Group Holding (BABA) shares are down around 4% today, trading at $82 and change after CNBC reported that short-selling specialist Jim Chanos pitched the Chinese e-commerce giant as a possible short at a conference Friday, citing accounting concerns. Chanos also pitched JD.com (JD) long as a hedge. Yahoo Inc. (YHOO), which owns 384 million shares of Alibaba, also fell in tandem.
Chanos has been bearish on China for years and recently warned that the country and its debt woes may even exceed the European country’s in the next few years.
BABA is currently printing a higher than average trading volume with the issue trading 20.62 million shares, compared to the average volume of 17.63 million. The stock began trading this morning at $85.53 to currently trade 4.41% lower from the prior days close of $85.38. On an intraday basis it has gotten as low as $81.18 and as high as $86.35.
Alibaba shares have advanced 28.82% in the last 4 weeks and 8.32% in the past three months. Over the past 5 trading sessions the stock has gained 3.84%. The Hangzhou, China-based company, which is currently valued at $200.94 billion, has a median Wall Street price target of $94.99 with a high target of $120.00.
Alibaba Group Holding Ltd. ADR is down 21.43% year-over-year, compared with a 3.35% gain in the S&P 500. JD.com shares rallied 3.14% to $29.72 in recent trading on the news.
Disclaimer: This page contains affiliate links. If you choose to make a purchase after clicking a link, we may receive a commission at no additional cost to you. Thank you for your support!