WallStSmart

Arhaus Inc (ARHS)vsAlibaba Group Holding Ltd (BABA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 73464% more annual revenue ($1.02T vs $1.38B). BABA leads profitability with a 8.9% profit margin vs 4.7%. ARHS trades at a lower P/E of 15.1x. BABA earns a higher WallStSmart Score of 50/100 (C-).

ARHS

Hold

43

out of 100

Grade: D

Growth: 3.3Profit: 5.5Value: 7.7Quality: 4.0
Piotroski: 1/9Altman Z: 1.93

BABA

Buy

50

out of 100

Grade: C-

Growth: 4.0Profit: 6.0Value: 8.0Quality: 5.8
Piotroski: 5/9Altman Z: 2.39
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ARHSUndervalued (+62.8%)

Margin of Safety

+62.8%

Fair Value

$26.24

Current Price

$6.50

$19.73 discount

UndervaluedFair: $26.24Overvalued
BABAUndervalued (+72.8%)

Margin of Safety

+72.8%

Fair Value

$558.77

Current Price

$140.06

$418.71 discount

UndervaluedFair: $558.77Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ARHS2 strengths · Avg: 8.0/10
P/E RatioValuation
15.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

BABA4 strengths · Avg: 8.5/10
Market CapQuality
$349.01B10/10

Mega-cap, among the largest globally

PEG RatioValuation
0.818/10

Growing faster than its price suggests

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$6.76B8/10

Generating 6.8B in free cash flow

Areas to Watch

ARHS4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
0.9%4/10

0.9% revenue growth

Altman Z-ScoreHealth
1.934/10

Grey zone — moderate risk

Market CapQuality
$1.00B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.7%3/10

4.7% margin — thin

BABA2 concerns · Avg: 3.0/10
Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

EPS GrowthGrowth
-70.9%2/10

Earnings declined 70.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : ARHS

The strongest argument for ARHS centers on P/E Ratio, Price/Book.

Bull Case : BABA

The strongest argument for BABA centers on Market Cap, PEG Ratio, Price/Book. PEG of 0.81 suggests the stock is reasonably priced for its growth.

Bear Case : ARHS

The primary concerns for ARHS are Revenue Growth, Altman Z-Score, Market Cap. Thin 4.7% margins leave little buffer for downturns.

Bear Case : BABA

The primary concerns for BABA are Revenue Growth, EPS Growth.

Key Dynamics to Monitor

ARHS carries more volatility with a beta of 2.42 — expect wider price swings.

BABA is growing revenue faster at 1.7% — sustainability is the question.

BABA generates stronger free cash flow (6.8B), providing more financial flexibility.

Monitor SPECIALTY RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BABA scores higher overall (50/100 vs 43/100). ARHS offers better value entry with a 62.8% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Arhaus Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Arhaus Inc. (ARHS) is a prominent player in the premium home furnishings sector, renowned for its commitment to high-quality, sustainably sourced products that emphasize exceptional craftsmanship and timeless design. Established in 1986, the company has built a distinguished reputation for luxury and durability, offering an extensive array of customizable furniture and home décor tailored to discerning consumers. With a strong focus on environmental sustainability, Arhaus utilizes recycled and reclaimed materials, appealing to the eco-conscious market. As consumer demand for premium furnishings escalates, Arhaus is strategically positioned to expand its retail presence and enhance its digital capabilities, thus poised for significant growth in the evolving home furnishings landscape.

Visit Website →

Alibaba Group Holding Ltd

CONSUMER CYCLICAL · INTERNET RETAIL · USA

Alibaba Group Holding Limited, also known as Alibaba Group and Alibaba.com, is a Chinese multinational technology company specializing in e-commerce, retail, Internet, and technology. Founded on 28 June 1999 in Hangzhou, Zhejiang, the company provides consumer-to-consumer (C2C), business-to-consumer (B2C), and business-to-business (B2B) sales services via web portals, as well as electronic payment services, shopping search engines and cloud computing services. It owns and operates a diverse portfolio of companies around the world in numerous business sectors.

Want to dig deeper into these stocks?