What Happened: The analysts have cut their consensus 12-month earnings forecast for Alibaba by almost 5% over the past three weeks to the lowest since July 2020, as per the report, citing Bloomberg-compiled data.

The earnings forecast was slashed by the analysts, citing weak consumer spending in China.

See Also: What To Expect When Alibaba Reports Its Q2 Results

Why It Matters: Alibaba is slated to report its second-quarter earnings results on Nov. 5, a week before China’s “Singles Day” online shopping festival.

Alibaba has been hurt by the regulatory crackdown and slowing economic recovery in China. The stock’s year-to-date losses are at 28.3%.

Earlier this year, Ant Group was forced to organize as a financial holding company that comes under the purview of the Chinese central bank.

Price Action: Alibaba shares closed almost 0.4% lower in Thursday’s regular trading session at $166.78.

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Photo: Courtesy of Alibaba