Alibaba Group Holding Ltd (BABA)vsPenn National Gaming Inc (PENN)
BABA
Alibaba Group Holding Ltd
$94.36
-7.05%
CONSUMER CYCLICAL · Cap: $272.28B
PENN
Penn National Gaming Inc
$17.53
-3.42%
CONSUMER CYCLICAL · Cap: $2.44B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 14249% more annual revenue ($1.04T vs $7.28B). BABA leads profitability with a 7.0% profit margin vs -0.1%. BABA appears more attractively valued with a PEG of 0.51. PENN earns a higher WallStSmart Score of 59/100 (C).
BABA
Buy55
out of 100
Grade: C-
PENN
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+64.9%
Fair Value
$433.37
Current Price
$94.36
$339.01 discount
Margin of Safety
+79.3%
Fair Value
$64.55
Current Price
$17.53
$47.02 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Reasonable price relative to book value
Conservative balance sheet, low leverage
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 208.9% YoY
Areas to Watch
Moderate valuation
ROE of 7.0% — below average capital efficiency
7.0% margin — thin
Weak financial health signals
Weak financial health signals
ROE of -40.1% — below average capital efficiency
Distress zone — elevated risk
Currently unprofitable
Comparative Analysis Report
WallStSmart ResearchBull Case : BABA
The strongest argument for BABA centers on Market Cap, Price/Book, Debt/Equity. PEG of 0.51 suggests the stock is reasonably priced for its growth.
Bull Case : PENN
The strongest argument for PENN centers on Price/Book, EPS Growth. PEG of 1.01 suggests the stock is reasonably priced for its growth.
Bear Case : BABA
The primary concerns for BABA are P/E Ratio, Return on Equity, Profit Margin.
Bear Case : PENN
The primary concerns for PENN are Piotroski F-Score, Return on Equity, Altman Z-Score. Debt-to-equity of 3.66 is elevated, increasing financial risk.
Key Dynamics to Monitor
BABA profiles as a value stock while PENN is a turnaround play — different risk/reward profiles.
PENN carries more volatility with a beta of 1.37 — expect wider price swings.
BABA is growing revenue faster at 8.6% — sustainability is the question.
PENN generates stronger free cash flow (143M), providing more financial flexibility.
Bottom Line
PENN scores higher overall (59/100 vs 55/100). BABA offers better value entry with a 64.9% 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.
Penn National Gaming Inc
CONSUMER CYCLICAL · RESORTS & CASINOS · USA
Penn National Gaming, Inc. is an American operator of casinos and racetracks, based in Wyomissing, Pennsylvania.
Compare with Other INTERNET RETAIL Stocks
Want to dig deeper into these stocks?