Burry Says Alibaba Shares Need to Fall Another 50% as AI Spending Drains Cash
Michael Burry says Alibaba shares must fall another 50% before he’d consider buying again, after a roughly 40% drop from January highs. Alibaba’s quarterly profit fell 75%, free cash flow swung to a large yuan outflow, and the company issued 710 million shares for about $10.2 billion to fund AI spending despite reduced buybacks; cloud and AI revenue rose.