WallStSmart

Alibaba Group Holding Ltd (BABA)vsTexas Roadhouse Inc (TXRH)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 16782% more annual revenue ($1.02T vs $6.06B). BABA leads profitability with a 10.1% profit margin vs 6.8%. BABA appears more attractively valued with a PEG of 0.39. BABA earns a higher WallStSmart Score of 64/100 (C+).

BABA

Buy

64

out of 100

Grade: C+

Growth: 6.7Profit: 5.0Value: 9.3Quality: 6.5
Piotroski: 2/9Altman Z: 2.02

TXRH

Buy

59

out of 100

Grade: C

Growth: 6.7Profit: 7.0Value: 4.0Quality: 5.0
Piotroski: 2/9Altman Z: 2.95
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+60.2%)

Margin of Safety

+60.2%

Fair Value

$382.49

Current Price

$121.06

$261.43 discount

UndervaluedFair: $382.49Overvalued
TXRHSignificantly Overvalued (-54.5%)

Margin of Safety

-54.5%

Fair Value

$118.69

Current Price

$170.46

$51.77 premium

UndervaluedFair: $118.69Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BABA6 strengths · Avg: 9.2/10
Market CapQuality
$270.36B10/10

Mega-cap, among the largest globally

PEG RatioValuation
0.3910/10

Growing faster than its price suggests

EPS GrowthGrowth
104.1%10/10

Earnings expanding 104.1% YoY

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

P/E RatioValuation
17.3x8/10

Attractively priced relative to earnings

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

TXRH1 strengths · Avg: 9.0/10
Return on EquityProfitability
27.4%9/10

Every $100 of equity generates 27 in profit

Areas to Watch

BABA4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

Operating MarginProfitability
1.0%3/10

Operating margin of 1.0%

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-18.10B2/10

Negative free cash flow — burning cash

TXRH4 concerns · Avg: 3.5/10
PEG RatioValuation
2.174/10

Expensive relative to growth rate

P/E RatioValuation
26.7x4/10

Moderate valuation

Profit MarginProfitability
6.8%3/10

6.8% margin — thin

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, EPS Growth. PEG of 0.39 suggests the stock is reasonably priced for its growth.

Bull Case : TXRH

The strongest argument for TXRH centers on Return on Equity. Revenue growth of 12.8% demonstrates continued momentum.

Bear Case : BABA

The primary concerns for BABA are Revenue Growth, Operating Margin, Piotroski F-Score.

Bear Case : TXRH

The primary concerns for TXRH are PEG Ratio, P/E Ratio, Profit Margin.

Key Dynamics to Monitor

TXRH carries more volatility with a beta of 0.81 — expect wider price swings.

TXRH is growing revenue faster at 12.8% — sustainability is the question.

TXRH generates stronger free cash flow (179M), providing more financial flexibility.

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

Bottom Line

BABA scores higher overall (64/100 vs 59/100). 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.

Texas Roadhouse Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Texas Roadhouse, Inc., operates casual restaurants in the United States and internationally. The company is headquartered in Louisville, Kentucky.

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