Why Alibaba Group Holding Ltd. (BABA) Went Down On Monday?

Wall Street’s main indices finished mixed connected Monday arsenic investors remained cautious amid the escalating commercialized tensions globally, with President Donald Trump threatening to slap China anew with a 50-percent tariff if the second does not retreat its countermeasure.

The tech-heavy Nasdaq was the sole gainer during the day, up 0.10 percent. In contrast, the Dow Jones declined by 0.91 percent and the S&P 500 dropped by 0.23 percent.

Meanwhile, 10 companies—predominantly Chinese stocks—were sold down arsenic investors moved distant to minimize the imaginable risks from the commercialized war.

In this article, we person identified Monday’s worst performers and elaborate the reasons down their drop.

To travel up with the list, we considered lone the stocks with $2 cardinal marketplace capitalization and $5 cardinal successful trading volume.

An e-commerce level displaying a wide scope of products to customers online.

Shares of Alibaba Group declined for a 4th consecutive time connected Monday, losing 9.06 percent to extremity astatine $105.98 apiece arsenic investors disposed of Chinese stocks to minimize the imaginable risks from the ongoing US-China commercialized tensions. In Hong Kong, its stock prices were besides down by 17.98 percent.

In caller news, the e-commerce elephantine announced it would grow heavy successful Artificial Intelligence implicit the adjacent 3 years, much than the magnitude it spent implicit the past decade. The announcement came astatine a clip erstwhile companies and industries successful China are dilatory integrating DeepSeek into their operations to enactment growth.

Wu, however, declined to elaborate connected the magnitude to allocate but emphasized that the superior nonsubjective was to prosecute AI. Part of its plans would spot the motorboat of a heavy reasoning exemplary arsenic it seeks to vie with DeepSeek and OpenAI’s caller models that person reasoning capabilities for solving analyzable tasks.

Overall, BABA ranks 4th connected our database of Chinese stocks that performed worst connected Monday. While we admit the imaginable of BABA arsenic an investment, our condemnation lies successful the content that AI stocks clasp greater committedness for delivering higher returns and doing truthful wrong a shorter clip frame. There is an AI banal that went up since the opening of 2025, portion fashionable AI stocks mislaid astir 25%. If you are looking for an AI banal that is much promising than BABA but that trades astatine little than 5 times its earnings, cheque retired our study astir this cheapest AI stock.