Alibaba Group Holding Ltd (BABA)vsGilead Sciences Inc (GILD)
BABA
Alibaba Group Holding Ltd
$140.06
-0.67%
CONSUMER CYCLICAL · Cap: $349.01B
GILD
Gilead Sciences Inc
$131.33
-2.04%
HEALTHCARE · Cap: $166.40B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 3353% more annual revenue ($1.02T vs $29.44B). GILD leads profitability with a 28.9% profit margin vs 8.9%. GILD appears more attractively valued with a PEG of 0.38. GILD earns a higher WallStSmart Score of 72/100 (B).
BABA
Buy50
out of 100
Grade: C-
GILD
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.8%
Fair Value
$558.77
Current Price
$140.06
$418.71 discount
Margin of Safety
+43.2%
Fair Value
$236.08
Current Price
$131.33
$104.75 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Growing faster than its price suggests
Every $100 of equity generates 41 in profit
Strong operational efficiency at 37.4%
Large-cap with strong market position
Keeps 29 of every $100 in revenue as profit
Earnings expanding 23.4% YoY
Areas to Watch
1.7% revenue growth
Earnings declined 70.9%
4.7% revenue growth
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : GILD
The strongest argument for GILD centers on PEG Ratio, Return on Equity, Operating Margin. Profitability is solid with margins at 28.9% and operating margin at 37.4%. PEG of 0.38 suggests the stock is reasonably priced for its growth.
Bear Case : BABA
The primary concerns for BABA are Revenue Growth, EPS Growth.
Bear Case : GILD
The primary concerns for GILD are Revenue Growth.
Key Dynamics to Monitor
BABA carries more volatility with a beta of 0.49 — expect wider price swings.
GILD is growing revenue faster at 4.7% — sustainability is the question.
BABA generates stronger free cash flow (6.8B), providing more financial flexibility.
Monitor INTERNET RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GILD scores higher overall (72/100 vs 50/100), backed by strong 28.9% margins. 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.
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.
Gilead Sciences Inc
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Gilead Sciences, Inc. is an American biopharmaceutical company headquartered in Foster City, California, that focuses on researching and developing antiviral drugs used in the treatment of HIV, hepatitis B, hepatitis C, and influenza, including Harvoni and Sovaldi.
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