BABA's Margins Suffer From Stiff Competition: Time to Sell the Stock?

Key Takeaways BABA posted 5% revenue growth as non-GAAP earnings fell sharply, highlighting profitability pressures.BABA more than doubled sales and marketing spend to defend share, fueling a 78% drop in adjusted EBITDA.Alibaba's cloud unit grew fast, but its scale remains too small to offset margin damage in core e-commerce.Alibaba Group Holding's (BABA) second-quarter fiscal 2026 results have exposed troubling realities that suggest investors should reconsider their positions in 2026. Despite achieving mo ...