WallStSmart

Alibaba Group Holding Ltd (BABA)vsBath & Body Works Inc. (BBWI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 14395% more annual revenue ($1.04T vs $7.21B). BBWI leads profitability with a 10.8% profit margin vs 7.0%. BABA appears more attractively valued with a PEG of 0.52. BBWI earns a higher WallStSmart Score of 57/100 (C).

BABA

Buy

55

out of 100

Grade: C-

Growth: 4.7Profit: 4.5Value: 8.0Quality: 6.5
Piotroski: 2/9Altman Z: 2.02

BBWI

Buy

57

out of 100

Grade: C

Growth: 4.7Profit: 6.0Value: 8.0Quality: 6.0
Piotroski: 3/9Altman Z: 1.90
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+58.1%)

Margin of Safety

+58.1%

Fair Value

$363.49

Current Price

$113.24

$250.25 discount

UndervaluedFair: $363.49Overvalued
BBWIUndervalued (+10.5%)

Margin of Safety

+10.5%

Fair Value

$25.04

Current Price

$17.40

$7.64 discount

UndervaluedFair: $25.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BABA4 strengths · Avg: 8.8/10
Market CapQuality
$281.47B10/10

Mega-cap, among the largest globally

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.528/10

Growing faster than its price suggests

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

BBWI4 strengths · Avg: 9.5/10
P/E RatioValuation
5.0x10/10

Attractively priced relative to earnings

EPS GrowthGrowth
93.3%10/10

Earnings expanding 93.3% YoY

Debt/EquityHealth
-4.5010/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.788/10

Growing faster than its price suggests

Areas to Watch

BABA4 concerns · Avg: 3.3/10
P/E RatioValuation
25.6x4/10

Moderate valuation

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Profit MarginProfitability
7.0%3/10

7.0% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

BBWI4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.904/10

Grey zone — moderate risk

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-2.3%2/10

Revenue declined 2.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : BABA

The strongest argument for BABA centers on Market Cap, Debt/Equity, PEG Ratio. PEG of 0.52 suggests the stock is reasonably priced for its growth.

Bull Case : BBWI

The strongest argument for BBWI centers on P/E Ratio, EPS Growth, Debt/Equity. PEG of 0.78 suggests the stock is reasonably priced for its growth.

Bear Case : BABA

The primary concerns for BABA are P/E Ratio, Return on Equity, Profit Margin.

Bear Case : BBWI

The primary concerns for BBWI are Altman Z-Score, Return on Equity, Piotroski F-Score.

Key Dynamics to Monitor

BABA profiles as a value stock while BBWI is a declining play — different risk/reward profiles.

BBWI carries more volatility with a beta of 1.37 — expect wider price swings.

BABA is growing revenue faster at 8.6% — sustainability is the question.

BBWI generates stronger free cash flow (23M), providing more financial flexibility.

Bottom Line

BBWI scores higher overall (57/100 vs 55/100). BABA offers better value entry with a 58.1% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

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.

Bath & Body Works Inc.

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Bath & Body Works Inc. (BBWI) is a leading specialty retailer distinguished by its extensive range of premium personal care and home fragrance products. With a strong omnichannel strategy that seamlessly merges its expansive retail footprint with a vibrant e-commerce platform, the company prioritizes customer accessibility and engagement. As a subsidiary of L Brands, Inc., BBWI benefits from operational synergies while fostering innovation in product offerings to align with evolving consumer preferences. The company is dedicated to sustainability and community stewardship, positioning itself for long-term growth and competitive resilience in the dynamic beauty and personal care market.

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