Alibaba Group Holding Ltd (BABA)vsLegacy Housing Corp (LEGH)
BABA
Alibaba Group Holding Ltd
$121.06
-3.88%
CONSUMER CYCLICAL · Cap: $270.36B
LEGH
Legacy Housing Corp
$23.22
-3.49%
CONSUMER CYCLICAL · Cap: $566.72M
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 626907% more annual revenue ($1.02T vs $163.26M). LEGH leads profitability with a 26.0% profit margin vs 10.1%. BABA appears more attractively valued with a PEG of 0.39. LEGH earns a higher WallStSmart Score of 65/100 (C+).
BABA
Buy64
out of 100
Grade: C+
LEGH
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+60.2%
Fair Value
$382.49
Current Price
$121.06
$261.43 discount
Margin of Safety
-75.8%
Fair Value
$12.31
Current Price
$23.22
$10.91 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Growing faster than its price suggests
Earnings expanding 104.1% YoY
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Reasonable price relative to book value
Reasonable price relative to book value
Strong operational efficiency at 36.0%
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Keeps 26 of every $100 in revenue as profit
Growing faster than its price suggests
Areas to Watch
2.9% revenue growth
Operating margin of 1.0%
Weak financial health signals
Negative free cash flow — burning cash
Smaller company, higher risk/reward
ROE of 7.9% — below average capital efficiency
Weak financial health signals
Revenue declined 3.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : BABA
The strongest argument for BABA centers on Market Cap, PEG Ratio, EPS Growth. PEG of 0.39 suggests the stock is reasonably priced for its growth.
Bull Case : LEGH
The strongest argument for LEGH centers on Price/Book, Operating Margin, Debt/Equity. Profitability is solid with margins at 26.0% and operating margin at 36.0%. PEG of 0.61 suggests the stock is reasonably priced for its growth.
Bear Case : BABA
The primary concerns for BABA are Revenue Growth, Operating Margin, Piotroski F-Score.
Bear Case : LEGH
The primary concerns for LEGH are Market Cap, Return on Equity, Piotroski F-Score.
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 0.80 — expect wider price swings.
BABA is growing revenue faster at 2.9% — sustainability is the question.
LEGH generates stronger free cash flow (5M), providing more financial flexibility.
Bottom Line
LEGH scores higher overall (65/100 vs 64/100), backed by strong 26.0% margins. BABA offers better value entry with a 60.2% 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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