Ailbaba Group Flops To New All Time Low After Q2 Report

em>Joel Elconin is the co-host of

, a daily trading idea radio show.

Alibaba Group

shares are trading lower by $5 at $72.34 in Wednesday's session. There are two catalysts driving the issue to a new all time low. First of all, the Street was disappointed in its Q2 earnings report that beat for EPS ($0.59 vs. Est. $0.58) but missed for sales ($3.27B vs. Est. $3.39B). The company's announcement of $4B buyback did not too much to cushion the blow from the sales miss. Also, the recent carnage in the Chinese stock is putting additional selling pressure on the issue. The double dose of bad news has driven the issue to new all time low at $71.03. It should be noted that is still above the projected IPO price from back in September 2014 which at $68. Instead the issue debuted at $92.70 and made its all time high in November at $120 before reversing course. Since reaching the new all time low, Alibaba staged a rally to $73.19 which is still well shy of its former all time low that was made in Tuesday's session at $76.15.