Alibaba Group Holding Ltd (BABA)vsGameStop Corp. (GME)
BABA
Alibaba Group Holding Ltd
$131.50
-0.29%
CONSUMER CYCLICAL · Cap: $321.85B
GME
GameStop Corp.
$24.21
+1.55%
CONSUMER CYCLICAL · Cap: $11.90B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 27910% more annual revenue ($1.02T vs $3.63B). GME leads profitability with a 11.5% profit margin vs 8.9%. GME appears more attractively valued with a PEG of 0.31. BABA earns a higher WallStSmart Score of 50/100 (C-).
BABA
Buy50
out of 100
Grade: C-
GME
Hold49
out of 100
Grade: D+
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
-47.4%
Fair Value
$16.42
Current Price
$24.21
$7.79 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
Growing faster than its price suggests
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Areas to Watch
1.7% revenue growth
Earnings declined 70.9%
Negative free cash flow — burning cash
Premium valuation, high expectations priced in
Revenue declined 13.9%
Earnings declined 25.3%
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 : GME
The strongest argument for GME centers on PEG Ratio, Altman Z-Score, Price/Book. PEG of 0.31 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 : GME
The primary concerns for GME are P/E Ratio, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
BABA profiles as a value stock while GME is a declining play — different risk/reward profiles.
GME carries more volatility with a beta of 1.83 — expect wider price swings.
BABA is growing revenue faster at 1.7% — sustainability is the question.
GME generates stronger free cash flow (187M), providing more financial flexibility.
Bottom Line
BABA scores higher overall (50/100 vs 49/100). 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.
GameStop Corp.
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
GameStop Corp. The company is headquartered in Grapevine, Texas.
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