WallStSmart

Alibaba Group Holding Ltd (BABA)vsDesigner Brands Inc (DBI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 35049% more annual revenue ($1.02T vs $2.89B). BABA leads profitability with a 8.9% profit margin vs -0.3%. BABA appears more attractively valued with a PEG of 0.80. DBI earns a higher WallStSmart Score of 50/100 (D+).

BABA

Buy

50

out of 100

Grade: C-

Growth: 4.0Profit: 6.0Value: 8.0Quality: 5.8
Piotroski: 5/9Altman Z: 2.39

DBI

Hold

50

out of 100

Grade: D+

Growth: 5.3Profit: 2.5Value: 6.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+72.9%)

Margin of Safety

+72.9%

Fair Value

$562.19

Current Price

$131.88

$430.31 discount

UndervaluedFair: $562.19Overvalued
DBIUndervalued (+84.6%)

Margin of Safety

+84.6%

Fair Value

$43.14

Current Price

$7.50

$35.64 discount

UndervaluedFair: $43.14Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BABA3 strengths · Avg: 8.7/10
Market CapQuality
$321.85B10/10

Mega-cap, among the largest globally

PEG RatioValuation
0.808/10

Growing faster than its price suggests

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

DBI2 strengths · Avg: 9.0/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
45.8%8/10

Earnings expanding 45.8% YoY

Areas to Watch

BABA3 concerns · Avg: 2.7/10
Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

EPS GrowthGrowth
-70.9%2/10

Earnings declined 70.9%

Free Cash FlowQuality
$-32.37B2/10

Negative free cash flow — burning cash

DBI4 concerns · Avg: 3.3/10
PEG RatioValuation
2.344/10

Expensive relative to growth rate

Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

Market CapQuality
$411.23M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-2.0%2/10

ROE of -2.0% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull 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 : DBI

The strongest argument for DBI centers on Price/Book, EPS Growth.

Bear Case : BABA

The primary concerns for BABA are Revenue Growth, EPS Growth, Free Cash Flow.

Bear Case : DBI

The primary concerns for DBI are PEG Ratio, Revenue Growth, Market Cap.

Key Dynamics to Monitor

BABA profiles as a value stock while DBI is a turnaround play — different risk/reward profiles.

DBI carries more volatility with a beta of 1.03 — expect wider price swings.

BABA is growing revenue faster at 1.7% — sustainability is the question.

DBI generates stronger free cash flow (33M), providing more financial flexibility.

Bottom Line

BABA scores higher overall (50/100 vs 50/100). DBI offers better value entry with a 84.6% margin of safety. Both earn "Buy" and "Hold" 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.

Designer Brands Inc

CONSUMER CYCLICAL · FOOTWEAR & ACCESSORIES · USA

Designer Brands Inc. designs, manufactures and retails women's, men's and children's footwear and accessories primarily in North America. The company is headquartered in Columbus, Ohio.

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