WallStSmart

Alibaba Group Holding Ltd (BABA)vsMeta Platforms Inc. (META)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 404% more annual revenue ($1.01T vs $200.97B). META leads profitability with a 30.1% profit margin vs 12.2%. META appears more attractively valued with a PEG of 1.03. META earns a higher WallStSmart Score of 75/100 (B).

BABA

Hold

49

out of 100

Grade: D+

Growth: 4.0Profit: 5.5Value: 7.3Quality: 5.8
Piotroski: 5/9Altman Z: 2.39

META

Strong Buy

75

out of 100

Grade: B

Growth: 7.3Profit: 10.0Value: 8.0Quality: 7.5
Piotroski: 3/9Altman Z: 2.88
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABASignificantly Overvalued (-195.1%)

Margin of Safety

-195.1%

Fair Value

$51.61

Current Price

$134.43

$82.82 premium

UndervaluedFair: $51.61Overvalued
METAOvervalued (-9.7%)

Margin of Safety

-9.7%

Fair Value

$561.40

Current Price

$615.68

$54.28 premium

UndervaluedFair: $561.40Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BABA2 strengths · Avg: 9.0/10
Market CapQuality
$326.38B10/10

Mega-cap, among the largest globally

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

META6 strengths · Avg: 9.7/10
Market CapQuality
$1.58T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
30.2%10/10

Every $100 of equity generates 30 in profit

Profit MarginProfitability
30.1%10/10

Keeps 30 of every $100 in revenue as profit

Operating MarginProfitability
41.3%10/10

Strong operational efficiency at 41.3%

Free Cash FlowQuality
$14.83B10/10

Generating 14.8B in free cash flow

Revenue GrowthGrowth
23.8%8/10

Revenue surging 23.8% year-over-year

Areas to Watch

BABA4 concerns · Avg: 3.3/10
PEG RatioValuation
1.744/10

Expensive relative to growth rate

Revenue GrowthGrowth
4.8%4/10

4.8% revenue growth

Operating MarginProfitability
2.2%3/10

Operating margin of 2.2%

EPS GrowthGrowth
-51.8%2/10

Earnings declined 51.8%

META2 concerns · Avg: 3.5/10
P/E RatioValuation
26.5x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : BABA

The strongest argument for BABA centers on Market Cap, Price/Book.

Bull Case : META

The strongest argument for META centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 30.1% and operating margin at 41.3%. Revenue growth of 23.8% demonstrates continued momentum.

Bear Case : BABA

The primary concerns for BABA are PEG Ratio, Revenue Growth, Operating Margin.

Bear Case : META

The primary concerns for META are P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

BABA profiles as a value stock while META is a growth play — different risk/reward profiles.

META carries more volatility with a beta of 1.28 — expect wider price swings.

META is growing revenue faster at 23.8% — sustainability is the question.

META generates stronger free cash flow (14.8B), providing more financial flexibility.

Bottom Line

META scores higher overall (75/100 vs 49/100), backed by strong 30.1% margins and 23.8% revenue growth. Both earn "Strong 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.

Meta Platforms Inc.

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

Meta Platforms, Inc. develops products that enable people to connect and share with friends and family through mobile devices, PCs, virtual reality headsets, wearables and home devices around the world. The company is headquartered in Menlo Park, California.

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