Alibaba Group Holding Ltd (BABA)vsDR Horton Inc (DHI)
BABA
Alibaba Group Holding Ltd
$131.50
-0.29%
CONSUMER CYCLICAL · Cap: $321.85B
DHI
DR Horton Inc
$149.98
-2.52%
CONSUMER CYCLICAL · Cap: $43.00B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 2949% more annual revenue ($1.02T vs $33.35B). DHI leads profitability with a 9.5% profit margin vs 8.9%. BABA appears more attractively valued with a PEG of 0.80. DHI earns a higher WallStSmart Score of 55/100 (C).
BABA
Buy50
out of 100
Grade: C-
DHI
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.8%
Fair Value
$560.44
Current Price
$131.50
$428.94 discount
Margin of Safety
-31.4%
Fair Value
$124.67
Current Price
$149.98
$25.31 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Growing faster than its price suggests
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
1.7% revenue growth
Earnings declined 70.9%
Negative free cash flow — burning cash
Weak financial health signals
Revenue declined 2.3%
Earnings declined 13.2%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull 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 : DHI
The strongest argument for DHI centers on Altman Z-Score, P/E Ratio, Price/Book. PEG of 1.32 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 : DHI
The primary concerns for DHI are Piotroski F-Score, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
DHI carries more volatility with a beta of 1.45 — expect wider price swings.
BABA is growing revenue faster at 1.7% — sustainability is the question.
DHI generates stronger free cash flow (-450M), providing more financial flexibility.
Monitor INTERNET RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DHI scores higher overall (55/100 vs 50/100). BABA offers better value entry with a 72.8% 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.
DR Horton Inc
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
D.R. Horton, Inc. is a home construction company incorporated in Delaware and headquartered in Arlington, Texas.
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