Alibaba Group Holding Ltd (BABA)vsLegacy Housing Corp (LEGH)
BABA
Alibaba Group Holding Ltd
$131.88
+1.11%
CONSUMER CYCLICAL · Cap: $321.85B
LEGH
Legacy Housing Corp
$21.75
+3.92%
CONSUMER CYCLICAL · Cap: $514.11M
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 617730% more annual revenue ($1.02T vs $164.57M). LEGH leads profitability with a 25.4% profit margin vs 8.9%. LEGH appears more attractively valued with a PEG of 0.61. LEGH earns a higher WallStSmart Score of 59/100 (C).
BABA
Buy50
out of 100
Grade: C-
LEGH
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.9%
Fair Value
$562.19
Current Price
$131.88
$430.31 discount
Margin of Safety
-42.8%
Fair Value
$15.15
Current Price
$21.75
$6.60 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
Reasonable price relative to book value
Keeps 25 of every $100 in revenue as profit
Growing faster than its price suggests
Attractively priced relative to earnings
Strong operational efficiency at 26.9%
Areas to Watch
1.7% revenue growth
Earnings declined 70.9%
Negative free cash flow — burning cash
Smaller company, higher risk/reward
Revenue declined 29.4%
Earnings declined 41.8%
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 : LEGH
The strongest argument for LEGH centers on Price/Book, Profit Margin, PEG Ratio. Profitability is solid with margins at 25.4% and operating margin at 26.9%. PEG of 0.61 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 : LEGH
The primary concerns for LEGH are Market Cap, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
BABA profiles as a value stock while LEGH is a declining play — different risk/reward profiles.
LEGH carries more volatility with a beta of 0.77 — expect wider price swings.
BABA is growing revenue faster at 1.7% — sustainability is the question.
LEGH generates stronger free cash flow (16M), providing more financial flexibility.
Bottom Line
LEGH scores higher overall (59/100 vs 50/100), backed by strong 25.4% margins. 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.
Legacy Housing Corp
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
Legacy Housing Corporation builds, sells, and finances manufactured homes and tiny homes primarily in the southern United States. The company is headquartered in Bedford, Texas.
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