Why Alibaba's business shakeup isn't helping its stock

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Why Alibaba's business shakeup isn't helping its stock
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Alibaba is moving quickly to split up its business in a bid to unlock value, but the company's broader challenges continue to drag the stock down.

Alibaba Group Holding Ltd. is moving quickly to split up its business in a bid to unlock more value for shareholders, but the company’s broader challenges continue to drag the stock down.

Even as Alibaba BABA signaled board approval for a spinoff of its cloud-computing business, with more likely spinoffs down the road, its shares fell 5.4% in Thursday’s session and were indicating toward another decline, off 1% in Friday morning action. Read: Loeb’s Third Point buys up new stakes in Alibaba, AMD and Alphabet while dumping Disney’s stock

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