American Express Company (AXP)vsAlibaba Group Holding Ltd (BABA)
AXP
American Express Company
$316.03
-0.83%
FINANCIAL SERVICES · Cap: $217.45B
BABA
Alibaba Group Holding Ltd
$140.06
-0.67%
CONSUMER CYCLICAL · Cap: $349.01B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 1378% more annual revenue ($1.02T vs $68.81B). AXP leads profitability with a 16.3% profit margin vs 8.9%. BABA appears more attractively valued with a PEG of 0.81. AXP earns a higher WallStSmart Score of 68/100 (B-).
AXP
Strong Buy68
out of 100
Grade: B-
BABA
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for AXP.
Margin of Safety
+72.8%
Fair Value
$558.77
Current Price
$140.06
$418.71 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 34 in profit
Strong operational efficiency at 21.2%
Generating 2.7B in free cash flow
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
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Distress zone — elevated risk
1.7% revenue growth
Earnings declined 70.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : AXP
The strongest argument for AXP centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 16.3% and operating margin at 21.2%. Revenue growth of 11.6% demonstrates continued momentum.
Bull 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.
Bear Case : AXP
The primary concerns for AXP are PEG Ratio, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.73 is elevated, increasing financial risk.
Bear Case : BABA
The primary concerns for BABA are Revenue Growth, EPS Growth.
Key Dynamics to Monitor
AXP profiles as a mature stock while BABA is a value play — different risk/reward profiles.
AXP carries more volatility with a beta of 1.08 — expect wider price swings.
AXP is growing revenue faster at 11.6% — sustainability is the question.
BABA generates stronger free cash flow (6.8B), providing more financial flexibility.
Bottom Line
AXP scores higher overall (68/100 vs 50/100), backed by strong 16.3% margins and 11.6% revenue growth. BABA offers better value entry with a 72.8% 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.
American Express Company
FINANCIAL SERVICES · CREDIT SERVICES · USA
The American Express Company is a multinational financial services corporation headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Manhattan in New York City.
Visit Website →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.
Compare with Other CREDIT SERVICES Stocks
Want to dig deeper into these stocks?