Alibaba’s $46 Billion Stock-Market Swoon Tests Investors’ Love

After months of exhilarating gains as hedge funds piled in and analysts upgraded target prices, Alibaba Group Holding Ltd.’s stock is losing its mojo and leading the decline in Chinese technology shares. 

Rising bearish bets on the e-commerce giant’s stock and falling earnings estimates suggest the slide can continue after a $46 billion wipeout over the past three weeks. Earnings on Thursday will likely show revenue barely grew in a quarter when China’s economy reopened from Covid curbs, with the company focusing on cost-cutting rather than business expansion.