Alibaba Group Holding Ltd (BABA)vsRed Rock Resorts Inc (RRR)
BABA
Alibaba Group Holding Ltd
$131.88
+1.11%
CONSUMER CYCLICAL · Cap: $321.85B
RRR
Red Rock Resorts Inc
$56.06
+0.95%
CONSUMER CYCLICAL · Cap: $5.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 50447% more annual revenue ($1.02T vs $2.01B). RRR leads profitability with a 9.3% profit margin vs 8.9%. BABA appears more attractively valued with a PEG of 0.80. RRR earns a higher WallStSmart Score of 55/100 (C-).
BABA
Buy50
out of 100
Grade: C-
RRR
Buy55
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
-36.6%
Fair Value
$47.48
Current Price
$56.06
$8.58 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
Every $100 of equity generates 111 in profit
Strong operational efficiency at 31.8%
Attractively priced relative to earnings
Areas to Watch
1.7% revenue growth
Earnings declined 70.9%
Negative free cash flow — burning cash
Expensive relative to growth rate
Trading at 15.7x book value
3.2% revenue growth
Earnings declined 1.8%
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 : RRR
The strongest argument for RRR centers on Return on Equity, Operating Margin, P/E Ratio.
Bear Case : BABA
The primary concerns for BABA are Revenue Growth, EPS Growth, Free Cash Flow.
Bear Case : RRR
The primary concerns for RRR are PEG Ratio, Price/Book, Revenue Growth.
Key Dynamics to Monitor
RRR carries more volatility with a beta of 1.48 — expect wider price swings.
RRR is growing revenue faster at 3.2% — sustainability is the question.
RRR generates stronger free cash flow (-109M), providing more financial flexibility.
Monitor INTERNET RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
RRR scores higher overall (55/100 vs 50/100). 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.
Red Rock Resorts Inc
CONSUMER CYCLICAL · RESORTS & CASINOS · USA
Red Rock Resorts, Inc., through its interest in Station Holdco and Station LLC, is involved in the casino, gaming and entertainment businesses in the United States. The company is headquartered in Las Vegas, Nevada.
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