As investors of the Chinese e-commerce giant Alibaba (BABA) - Get Report celebrated Thursday's first quarter earnings beat that has sent the stock climbing over 5%, short sellers in the name suffered a crushing blow.
Alibaba short sellers are down a whopping $2 billion in month-to-month losses this week, according to S3 Analytics. Year-to-date losses among the company's short sellers now totals $9.8 billion, a 66.4% decline.
Alibaba is not just the largest short in the Hong Kong and Chinese region, but the biggest short in the world, more than double that of electric carmaker Tesla (TSLA) - Get Report . Alibaba's short interest more than doubled in 2017 alone.
The Chinese conglomerate is the worst performing worldwide short year-to-date, S3 said. Short sellers are now hoping for a market correction and for Alibaba to sink significantly as a result.
Shares of Alibaba were continuing their climb on Friday, up over 2% in afternoon trading.
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