WallStSmart

Alibaba Group Holding Ltd (BABA)vsBarnes & Noble Education Inc (BNED)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 58690% more annual revenue ($1.02T vs $1.73B). BABA leads profitability with a 8.9% profit margin vs -0.6%. BABA appears more attractively valued with a PEG of 0.80. BABA earns a higher WallStSmart Score of 50/100 (C-).

BABA

Buy

50

out of 100

Grade: C-

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

BNED

Hold

49

out of 100

Grade: D+

Growth: 4.0Profit: 3.0Value: 7.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+72.9%)

Margin of Safety

+72.9%

Fair Value

$562.19

Current Price

$130.43

$431.76 discount

UndervaluedFair: $562.19Overvalued
BNEDUndervalued (+88.3%)

Margin of Safety

+88.3%

Fair Value

$69.59

Current Price

$9.85

$59.74 discount

UndervaluedFair: $69.59Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BABA3 strengths · Avg: 8.7/10
Market CapQuality
$321.85B10/10

Mega-cap, among the largest globally

PEG RatioValuation
0.808/10

Growing faster than its price suggests

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

BNED1 strengths · Avg: 10.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Areas to Watch

BABA3 concerns · Avg: 2.7/10
Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

EPS GrowthGrowth
-70.9%2/10

Earnings declined 70.9%

Free Cash FlowQuality
$-32.37B2/10

Negative free cash flow — burning cash

BNED4 concerns · Avg: 2.5/10
Market CapQuality
$371.77M3/10

Smaller company, higher risk/reward

Operating MarginProfitability
2.9%3/10

Operating margin of 2.9%

Return on EquityProfitability
-3.4%2/10

ROE of -3.4% — below average capital efficiency

EPS GrowthGrowth
-67.7%2/10

Earnings declined 67.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : BABA

The strongest argument for BABA centers on Market Cap, PEG Ratio, Price/Book. PEG of 0.80 suggests the stock is reasonably priced for its growth.

Bull Case : BNED

The strongest argument for BNED centers on Price/Book. Revenue growth of 11.3% demonstrates continued momentum. PEG of 1.10 suggests the stock is reasonably priced for its growth.

Bear Case : BABA

The primary concerns for BABA are Revenue Growth, EPS Growth, Free Cash Flow.

Bear Case : BNED

The primary concerns for BNED are Market Cap, Operating Margin, Return on Equity.

Key Dynamics to Monitor

BABA profiles as a value stock while BNED is a turnaround play — different risk/reward profiles.

BNED carries more volatility with a beta of 1.31 — expect wider price swings.

BNED is growing revenue faster at 11.3% — sustainability is the question.

BNED generates stronger free cash flow (-33M), providing more financial flexibility.

Bottom Line

BABA scores higher overall (50/100 vs 49/100). BNED offers better value entry with a 88.3% 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.

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.

Barnes & Noble Education Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Barnes & Noble Education, Inc. operates bookstores for college and university campuses and K-12 institutions in the United States. The company is headquartered in Basking Ridge, New Jersey.

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