WallStSmart

Alibaba Group Holding Ltd (BABA)vsO’Reilly Automotive Inc (ORLY)

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Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 5485% more annual revenue ($1.02T vs $18.21B). ORLY leads profitability with a 14.3% profit margin vs 8.9%. BABA appears more attractively valued with a PEG of 0.86. ORLY earns a higher WallStSmart Score of 60/100 (C).

BABA

Buy

50

out of 100

Grade: C-

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

ORLY

Buy

60

out of 100

Grade: C

Growth: 6.7Profit: 8.0Value: 6.7Quality: 4.0
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+72.7%)

Margin of Safety

+72.7%

Fair Value

$557.09

Current Price

$137.30

$419.79 discount

UndervaluedFair: $557.09Overvalued
ORLYUndervalued (+74.7%)

Margin of Safety

+74.7%

Fair Value

$372.44

Current Price

$91.35

$281.09 discount

UndervaluedFair: $372.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BABA4 strengths · Avg: 8.5/10
Market CapQuality
$336.01B10/10

Mega-cap, among the largest globally

PEG RatioValuation
0.868/10

Growing faster than its price suggests

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$6.76B8/10

Generating 6.8B in free cash flow

ORLY2 strengths · Avg: 9.5/10
Return on EquityProfitability
58.6%10/10

Every $100 of equity generates 59 in profit

Market CapQuality
$74.34B9/10

Large-cap with strong market position

Areas to Watch

BABA2 concerns · Avg: 3.0/10
Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

EPS GrowthGrowth
-70.9%2/10

Earnings declined 70.9%

ORLY3 concerns · Avg: 3.7/10
PEG RatioValuation
2.194/10

Expensive relative to growth rate

P/E RatioValuation
29.2x4/10

Moderate valuation

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : BABA

The strongest argument for BABA centers on Market Cap, PEG Ratio, Price/Book. PEG of 0.86 suggests the stock is reasonably priced for its growth.

Bull Case : ORLY

The strongest argument for ORLY centers on Return on Equity, Market Cap. Revenue growth of 10.2% demonstrates continued momentum.

Bear Case : BABA

The primary concerns for BABA are Revenue Growth, EPS Growth.

Bear Case : ORLY

The primary concerns for ORLY are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

ORLY carries more volatility with a beta of 0.58 — expect wider price swings.

ORLY is growing revenue faster at 10.2% — sustainability is the question.

BABA generates stronger free cash flow (6.8B), providing more financial flexibility.

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

Bottom Line

ORLY scores higher overall (60/100 vs 50/100) and 10.2% revenue growth. BABA offers better value entry with a 72.7% 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.

O’Reilly Automotive Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

O'Reilly Auto Parts is an American auto parts retailer that provides automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States serving both the professional service providers and do-it-yourself customers.

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