WallStSmart

Alibaba Group Holding Ltd (BABA)vsEnvela Corp (ELA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 421749% more annual revenue ($1.02T vs $241.02M). BABA leads profitability with a 8.9% profit margin vs 6.1%. BABA trades at a lower P/E of 23.0x. ELA earns a higher WallStSmart Score of 54/100 (C-).

BABA

Buy

50

out of 100

Grade: C-

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

ELA

Buy

54

out of 100

Grade: C-

Growth: 8.7Profit: 6.5Value: 3.7Quality: 8.5
Piotroski: 5/9Altman Z: 6.02
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+72.9%)

Margin of Safety

+72.9%

Fair Value

$562.19

Current Price

$131.88

$430.31 discount

UndervaluedFair: $562.19Overvalued
ELASignificantly Overvalued (-27.0%)

Margin of Safety

-27.0%

Fair Value

$10.01

Current Price

$17.61

$7.60 premium

UndervaluedFair: $10.01Overvalued

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

ELA4 strengths · Avg: 9.8/10
Revenue GrowthGrowth
66.6%10/10

Revenue surging 66.6% year-over-year

EPS GrowthGrowth
284.5%10/10

Earnings expanding 284.5% YoY

Altman Z-ScoreHealth
6.0210/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
24.4%9/10

Every $100 of equity generates 24 in profit

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

ELA4 concerns · Avg: 3.0/10
P/E RatioValuation
33.0x4/10

Premium valuation, high expectations priced in

Market CapQuality
$480.32M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
6.1%3/10

6.1% margin — thin

Free Cash FlowQuality
$-3.76M2/10

Negative free cash flow — burning cash

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 : ELA

The strongest argument for ELA centers on Revenue Growth, EPS Growth, Altman Z-Score. Revenue growth of 66.6% demonstrates continued momentum.

Bear Case : BABA

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

Bear Case : ELA

The primary concerns for ELA are P/E Ratio, Market Cap, Profit Margin.

Key Dynamics to Monitor

BABA profiles as a value stock while ELA is a hypergrowth play — different risk/reward profiles.

BABA carries more volatility with a beta of 0.49 — expect wider price swings.

ELA is growing revenue faster at 66.6% — sustainability is the question.

ELA generates stronger free cash flow (-4M), providing more financial flexibility.

Bottom Line

ELA scores higher overall (54/100 vs 50/100) and 66.6% revenue growth. BABA offers better value entry with a 72.9% 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.

Envela Corp

CONSUMER CYCLICAL · LUXURY GOODS · USA

Envela Corporation primarily buys and sells jewelry and bullion products to individual consumers, distributors, Fortune 500 companies, municipalities, school districts, and other organizations in the United States. The company is headquartered in Irving, Texas.

Visit Website →

Want to dig deeper into these stocks?