Alibaba's astronomical Singles' Day sales failed to boost its share price, with shares closing down 2 percent in New York on Wednesday and analysts flagging a cautious outlook.
The e-commerce behemoth handled $14.3 billion in sales over the 24-hour shopping period, a 60 percent increase compared to 2014. So, why weren't markets and commentators impressed?
"The stock was up initially until Jack Ma made some cautionary comments about growth expectations in China and the impact on Alibaba," explained Victor Anthony, managing director and senior internet media analyst at Axiom Capital Management.
Speaking exclusively to CNBC on Wednesday, Alibaba's 51-year old founder said the next five to 15 months would be a tough time for the mainland, citing the impact of President Xi Jinping's anti-corruption fight. But he said Beijing's 7 percent gross domestic product (GDP) target was still achievable during that time frame.
Alibaba shares are down more than 20 percent year-to-date as the world's second-largest economy grows at its slowest pace since 2009, with GDP sliding below 7 percent in the July-September quarter amid weakening investment, excess capacity in the industrial sector and a strong currency.
Because Alibaba's business model relies on consumption, a broad economic slowdown is worrisome in the longer term and offsets any short-term boost from record Singles' Day sales, some strategists said.
"The largest area of concern [for Alibaba] is the slowdown of [Chinese] growth and how that might trickle down to domestic consumption, that's the dark cloud over all the Chinese internet names today," noted Rob Sanderson, managing director at MKM Partners.
Others were more upbeat on Alibaba's outlook. ABR Investment Strategy chief executive Brad Gastwirth acknowledged that negative sentiment on the company's stock was directly tied to views on the broader economy, but he said it was misguided.
"We believe that this is a complete misread for China internet/e-commerce. Those companies are delivering solid fundamentals even during a time that the country is slowing," Gastwirth told CNBC in an email interview.
Wednesday's decline could also be explained in part by an old market adage.
It was a typical buy the rumor, sell the news situation, explained Hany Nada, GGV Capital co-founder and managing partner. "They had a good day Tuesday and I think many investors felt it was a good time to exit the stock."