This post was just published on ZYX Buy Change Alert.
BABA is long from $68 and 170% of the full core position size is held.
After the company reported earnings, bulls were enthused about the number of users, revenues, and earnings. However, a deeper look shows that non-GAAP gross margins went down by about 9% and G&A went up. On the conference call it is obvious that the company is going to substantially increase its spending similar to what was seen on the earnings conference calls of FB and AMZN.
As of this writing the classic battle is taking place between those who are buying on momentum and the more informed investors who are concerned about margins and expenses.
What To Do Now?
Those in the stock may continue to hold.
Those not in the stock may wait for a signal in the Real Time Feed.
You are receiving less than 2% of the content from our paid services …TO RECEIVE REMAINING 98%, TAKE A FREE TRIAL TO PAID SERVICES.
Please click here to take advantage of a FREE 30 day trial.
Check out our enviable performance in both bull and bear markets.