Alibaba Group Holding Ltd (BABA)vsYum China Holdings Inc (YUMC)
BABA
Alibaba Group Holding Ltd
$109.30
+0.68%
CONSUMER CYCLICAL · Cap: $281.47B
YUMC
Yum China Holdings Inc
$42.32
+0.07%
CONSUMER CYCLICAL · Cap: $14.74B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 8301% more annual revenue ($1.04T vs $12.44B). YUMC leads profitability with a 7.8% profit margin vs 7.0%. BABA appears more attractively valued with a PEG of 0.52. YUMC earns a higher WallStSmart Score of 71/100 (B).
BABA
Buy55
out of 100
Grade: C-
YUMC
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+58.3%
Fair Value
$365.09
Current Price
$109.30
$255.79 discount
Intrinsic value data unavailable for YUMC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Conservative balance sheet, low leverage
Growing faster than its price suggests
Reasonable price relative to book value
Growing faster than its price suggests
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 21.4% YoY
Areas to Watch
Moderate valuation
ROE of 7.0% — below average capital efficiency
7.0% margin — thin
Weak financial health signals
7.8% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : BABA
The strongest argument for BABA centers on Market Cap, Debt/Equity, PEG Ratio. PEG of 0.52 suggests the stock is reasonably priced for its growth.
Bull Case : YUMC
The strongest argument for YUMC centers on PEG Ratio, P/E Ratio, Price/Book. Revenue growth of 12.6% demonstrates continued momentum. PEG of 0.97 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 : YUMC
The primary concerns for YUMC are Profit Margin.
Key Dynamics to Monitor
BABA carries more volatility with a beta of 0.50 — expect wider price swings.
YUMC is growing revenue faster at 12.6% — sustainability is the question.
YUMC generates stronger free cash flow (305M), providing more financial flexibility.
Monitor INTERNET RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
YUMC scores higher overall (71/100 vs 55/100) and 12.6% revenue growth. BABA offers better value entry with a 58.3% margin of safety. Both earn "Strong 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.
Yum China Holdings Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Yum China Holdings, Inc. owns, operates and franchises restaurants in China. The company is headquartered in Shanghai, China.
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