Although shares of Alibaba have surged 77% in price from a low in September 2015, many investors are selling the company short, anticipating trouble ahead for the Chinese e-commerce giant, The Wall Street Journal reports. Alibaba, which has posted a string of quarters showing revenue gains, has appealed to investors as a way to profit on what has been to now buoyant consumer spending in China. Still, there are persisting concerns the company’s profitability is overstated, alongside broader uncertainty about China’s economy. And after a run-up in the stock’s price and lofty expectations for growth, short sellers have been targeting Alibaba before Wednesday’s quarterly earnings report and China’s Singles’ Day on Nov. 11, the biggest e-commerce shopping day that last year netted the company a blockbuster $14.3 billion in sales.
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