The International Herald Tribune, April 25, 2008 Friday
Citigroup downgraded the Chinese Internet company Alibaba.com to ''sell'' from ''hold'' on an increasingly cloudy outlook following an overhaul of its sales force that put growth rates at risk.
Citigroup lowered the target price of the e-commerce company to 10 Hong Kong dollars from 17 dollars. Alibaba shares closed Wednesday at 12.22 dollars.
"We expect rising execution risks from sales force turnover, a material disruption to productivity, and increased customer churn,'' Citigroup said in a report. ''Making matters worse, the IPO lock-up comes off in early May."
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