WallStSmart

Alibaba Group Holding Ltd (BABA)vsLeggett & Platt Incorporated (LEG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 26743% more annual revenue ($1.04T vs $3.89B). BABA leads profitability with a 7.0% profit margin vs 5.6%. BABA appears more attractively valued with a PEG of 0.53. BABA earns a higher WallStSmart Score of 55/100 (C-).

BABA

Buy

55

out of 100

Grade: C-

Growth: 4.7Profit: 4.5Value: 8.0Quality: 6.5
Piotroski: 2/9Altman Z: 2.02

LEG

Buy

53

out of 100

Grade: C-

Growth: 2.0Profit: 6.5Value: 7.3Quality: 6.5
Piotroski: 5/9Altman Z: 2.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+58.1%)

Margin of Safety

+58.1%

Fair Value

$363.49

Current Price

$110.80

$252.69 discount

UndervaluedFair: $363.49Overvalued
LEGUndervalued (+45.3%)

Margin of Safety

+45.3%

Fair Value

$22.67

Current Price

$9.20

$13.47 discount

UndervaluedFair: $22.67Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BABA4 strengths · Avg: 8.8/10
Market CapQuality
$281.47B10/10

Mega-cap, among the largest globally

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.538/10

Growing faster than its price suggests

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

LEG3 strengths · Avg: 9.7/10
P/E RatioValuation
5.9x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Return on EquityProfitability
25.2%9/10

Every $100 of equity generates 25 in profit

Areas to Watch

BABA4 concerns · Avg: 3.3/10
P/E RatioValuation
25.6x4/10

Moderate valuation

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Profit MarginProfitability
7.0%3/10

7.0% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

LEG4 concerns · Avg: 2.8/10
Market CapQuality
$1.26B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
5.6%3/10

5.6% margin — thin

Debt/EquityHealth
1.523/10

Elevated debt levels

PEG RatioValuation
2.962/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : BABA

The strongest argument for BABA centers on Market Cap, Debt/Equity, PEG Ratio. PEG of 0.53 suggests the stock is reasonably priced for its growth.

Bull Case : LEG

The strongest argument for LEG centers on P/E Ratio, Price/Book, Return on Equity.

Bear Case : BABA

The primary concerns for BABA are P/E Ratio, Return on Equity, Profit Margin.

Bear Case : LEG

The primary concerns for LEG are Market Cap, Profit Margin, Debt/Equity. Debt-to-equity of 1.52 is elevated, increasing financial risk.

Key Dynamics to Monitor

LEG carries more volatility with a beta of 0.75 — expect wider price swings.

BABA is growing revenue faster at 8.6% — sustainability is the question.

LEG generates stronger free cash flow (25M), providing more financial flexibility.

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

Bottom Line

BABA scores higher overall (55/100 vs 53/100). LEG offers better value entry with a 45.3% 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.

Leggett & Platt Incorporated

CONSUMER CYCLICAL · FURNISHINGS, FIXTURES & APPLIANCES · USA

Leggett & Platt (L&P), based in Carthage, Missouri, is a diversified manufacturer that designs and produces various engineered components and products.

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