WallStSmart

Alibaba Group Holding Ltd (BABA)vsMelco Resorts & Entertainment Ltd (MLCO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 19592% more annual revenue ($1.02T vs $5.16B). BABA leads profitability with a 8.9% profit margin vs 3.6%. MLCO appears more attractively valued with a PEG of 0.42. MLCO earns a higher WallStSmart Score of 57/100 (C).

BABA

Buy

50

out of 100

Grade: C-

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

MLCO

Buy

57

out of 100

Grade: C

Growth: 8.7Profit: 5.0Value: 8.3Quality: 4.8
Piotroski: 6/9Altman Z: 0.23
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+72.8%)

Margin of Safety

+72.8%

Fair Value

$560.44

Current Price

$131.88

$428.56 discount

UndervaluedFair: $560.44Overvalued

Intrinsic value data unavailable for MLCO.

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

MLCO3 strengths · Avg: 10.0/10
PEG RatioValuation
0.4210/10

Growing faster than its price suggests

P/E RatioValuation
12.0x10/10

Attractively priced relative to earnings

EPS GrowthGrowth
200.0%10/10

Earnings expanding 200.0% YoY

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

MLCO3 concerns · Avg: 2.3/10
Profit MarginProfitability
3.6%3/10

3.6% margin — thin

Return on EquityProfitability
-2157.0%2/10

ROE of -2157.0% — below average capital efficiency

Altman Z-ScoreHealth
0.232/10

Distress zone — elevated risk

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 : MLCO

The strongest argument for MLCO centers on PEG Ratio, P/E Ratio, EPS Growth. PEG of 0.42 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 : MLCO

The primary concerns for MLCO are Profit Margin, Return on Equity, Altman Z-Score. Thin 3.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

MLCO carries more volatility with a beta of 0.60 — expect wider price swings.

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

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

Bottom Line

MLCO scores higher overall (57/100 vs 50/100). BABA offers better value entry with a 72.8% 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.

Melco Resorts & Entertainment Ltd

CONSUMER CYCLICAL · RESORTS & CASINOS · USA

Melco Resorts & Entertainment Limited develops, owns and operates casino gaming facilities and resorts in Asia and Europe.

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