WallStSmart

Alibaba Group Holding Ltd (BABA)vsFrontdoor Inc (FTDR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 48478% more annual revenue ($1.02T vs $2.09B). FTDR leads profitability with a 12.2% profit margin vs 8.9%. BABA appears more attractively valued with a PEG of 0.80. FTDR earns a higher WallStSmart Score of 50/100 (D+).

BABA

Buy

50

out of 100

Grade: C-

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

FTDR

Hold

50

out of 100

Grade: D+

Growth: 4.7Profit: 7.0Value: 5.3Quality: 5.5
Piotroski: 4/9Altman Z: 2.14
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
FTDROvervalued (-7.8%)

Margin of Safety

-7.8%

Fair Value

$52.19

Current Price

$60.59

$8.40 premium

UndervaluedFair: $52.19Overvalued

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

FTDR2 strengths · Avg: 9.0/10
Return on EquityProfitability
106.0%10/10

Every $100 of equity generates 106 in profit

P/E RatioValuation
17.7x8/10

Attractively priced relative to earnings

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

FTDR4 concerns · Avg: 3.3/10
PEG RatioValuation
2.384/10

Expensive relative to growth rate

Price/BookValuation
17.8x4/10

Trading at 17.8x book value

Operating MarginProfitability
4.8%3/10

Operating margin of 4.8%

EPS GrowthGrowth
-84.0%2/10

Earnings declined 84.0%

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 : FTDR

The strongest argument for FTDR centers on Return on Equity, P/E Ratio. Revenue growth of 13.4% demonstrates continued momentum.

Bear Case : BABA

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

Bear Case : FTDR

The primary concerns for FTDR are PEG Ratio, Price/Book, Operating Margin. Debt-to-equity of 3.80 is elevated, increasing financial risk.

Key Dynamics to Monitor

FTDR carries more volatility with a beta of 1.41 — expect wider price swings.

FTDR is growing revenue faster at 13.4% — sustainability is the question.

FTDR generates stronger free cash flow (95M), providing more financial flexibility.

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

Bottom Line

BABA scores higher overall (50/100 vs 50/100). 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.

Frontdoor Inc

CONSUMER CYCLICAL · PERSONAL SERVICES · USA

front door, inc. The company is headquartered in Memphis, Tennessee.

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