The Market Misperceptions Around Alibaba, Stitch Fix, And Twitter

*** Before you listen, there is a The Razor's Edge newsletter now available. Written by Akram's Razor, the Razor's Edge will come out at least twice a month and include ideas, analysis, macro input, and the insights you would expect from this podcast. Check it out at: https://the-razors-edge.ghost.io *** We revisit three The Razor's Edge names from 2021. Alibaba is down in the dumps from regulatory scrutiny, Stitch Fix can't get no respect, and Twitter received a negative sell-side initiation. We talk about each of the stocks, and while on the surface it would seem that nothing beyond stock performance and our interest unites the three, there are a lot of echoes in how the market is looking at each of them, at least from our vantage point. Topics Covered Alibaba 3:30 minute mark - Why the recent regulatory reports around Ant Financial aren’t shocking 10:00 – US corollaries for the current discussion 14:00 – Last year’s warning 18:00 – The significance of the FT report and how it might help Alipay’s/Alibaba’s position 22:30 – The impact on Alibaba’s valuation itself 26:30 – China regulators vs. U.S. regulators 33:00 – Time horizon for clouds to dissipate Stitch Fix 38:00 – Why is Stitch Fix so bad? Reviewing the story, valuation, stock, etc. 49:30 – The stylists’ news 53:00 – The market context for SFIX’s stock Twitter 55:30 – The Goldman downgrade and the confusion about Twitter from bulls 1:02:00 – Reframing the creator tools 1:08:00 – Blurring lenses in analyzing Twitter (or all of these names) 1:12:30 – The luxury of not having the market’s trust