Alibaba Group Holding Ltd (BABA)vsFive Below Inc (FIVE)
BABA
Alibaba Group Holding Ltd
$121.06
-3.88%
CONSUMER CYCLICAL · Cap: $270.36B
FIVE
Five Below Inc
$190.47
-0.89%
CONSUMER CYCLICAL · Cap: $10.98B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 20054% more annual revenue ($1.02T vs $5.08B). BABA leads profitability with a 10.1% profit margin vs 8.7%. BABA appears more attractively valued with a PEG of 0.39. FIVE earns a higher WallStSmart Score of 74/100 (B).
BABA
Buy64
out of 100
Grade: C+
FIVE
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+60.2%
Fair Value
$382.49
Current Price
$121.06
$261.43 discount
Margin of Safety
+23.0%
Fair Value
$267.66
Current Price
$190.47
$77.20 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Growing faster than its price suggests
Earnings expanding 104.1% YoY
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Reasonable price relative to book value
Revenue surging 32.5% year-over-year
Earnings expanding 195.6% YoY
Growing faster than its price suggests
Areas to Watch
2.9% revenue growth
Operating margin of 1.0%
Weak financial health signals
Negative free cash flow — burning cash
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull 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 : FIVE
The strongest argument for FIVE centers on Revenue Growth, EPS Growth, PEG Ratio. Revenue growth of 32.5% demonstrates continued momentum. PEG of 0.98 suggests the stock is reasonably priced for its growth.
Bear Case : BABA
The primary concerns for BABA are Revenue Growth, Operating Margin, Piotroski F-Score.
Bear Case : FIVE
The primary concerns for FIVE are Piotroski F-Score.
Key Dynamics to Monitor
BABA profiles as a value stock while FIVE is a hypergrowth play — different risk/reward profiles.
FIVE carries more volatility with a beta of 0.97 — expect wider price swings.
FIVE is growing revenue faster at 32.5% — sustainability is the question.
FIVE generates stronger free cash flow (190M), providing more financial flexibility.
Bottom Line
FIVE scores higher overall (74/100 vs 64/100) and 32.5% revenue growth. BABA offers better value entry with a 60.2% 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.
Five Below Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Five Below, Inc. is a specialty value retailer in the United States. The company is headquartered in Philadelphia, Pennsylvania.
Compare with Other INTERNET RETAIL Stocks
Want to dig deeper into these stocks?