Alibaba Group Holding Ltd (BABA)vsSouthern Company (SO)
BABA
Alibaba Group Holding Ltd
$140.06
-0.67%
CONSUMER CYCLICAL · Cap: $349.01B
SO
Southern Company
$91.80
-0.68%
UTILITIES · Cap: $103.49B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 3269% more annual revenue ($1.02T vs $30.18B). SO leads profitability with a 14.5% profit margin vs 8.9%. BABA appears more attractively valued with a PEG of 0.81. SO earns a higher WallStSmart Score of 56/100 (C).
BABA
Buy50
out of 100
Grade: C-
SO
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.8%
Fair Value
$558.77
Current Price
$140.06
$418.71 discount
Margin of Safety
-25.0%
Fair Value
$73.42
Current Price
$91.80
$18.38 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
Generating 6.8B in free cash flow
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 25.8%
Areas to Watch
1.7% revenue growth
Earnings declined 70.9%
Expensive relative to growth rate
Earnings declined 0.8%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : BABA
The strongest argument for BABA centers on Market Cap, PEG Ratio, Price/Book. PEG of 0.81 suggests the stock is reasonably priced for its growth.
Bull Case : SO
The strongest argument for SO centers on Market Cap, Price/Book, Operating Margin.
Bear Case : BABA
The primary concerns for BABA are Revenue Growth, EPS Growth.
Bear Case : SO
The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
BABA carries more volatility with a beta of 0.49 — expect wider price swings.
SO is growing revenue faster at 8.0% — 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
SO scores higher overall (56/100 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.
Southern Company
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Southern Company is an American gas and electric utility holding company based in the southern United States. It is headquartered in Atlanta, Georgia, with executive offices also located in Birmingham, Alabama.
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