WallStSmart

Alibaba Group Holding Ltd (BABA)vsMGM Resorts International (MGM)

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Smart Verdict

WallStSmart Research — data-driven comparison

Alibaba Group Holding Ltd generates 5783% more annual revenue ($1.04T vs $17.76B). BABA leads profitability with a 7.0% profit margin vs 2.4%. MGM appears more attractively valued with a PEG of 0.51. MGM earns a higher WallStSmart Score of 63/100 (C+).

BABA

Buy

55

out of 100

Grade: C-

Growth: 4.7Profit: 4.5Value: 8.0Quality: 6.5
Piotroski: 2/9Altman Z: 2.02

MGM

Buy

63

out of 100

Grade: C+

Growth: 7.3Profit: 5.5Value: 6.3Quality: 3.5
Piotroski: 4/9Altman Z: 0.63
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BABAUndervalued (+58.3%)

Margin of Safety

+58.3%

Fair Value

$365.09

Current Price

$109.30

$255.79 discount

UndervaluedFair: $365.09Overvalued

Intrinsic value data unavailable for MGM.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BABA4 strengths · Avg: 8.8/10
Market CapQuality
$281.47B10/10

Mega-cap, among the largest globally

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.528/10

Growing faster than its price suggests

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

MGM2 strengths · Avg: 9.0/10
EPS GrowthGrowth
519.0%10/10

Earnings expanding 519.0% YoY

PEG RatioValuation
0.518/10

Growing faster than its price suggests

Areas to Watch

BABA4 concerns · Avg: 3.3/10
P/E RatioValuation
25.6x4/10

Moderate valuation

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Profit MarginProfitability
7.0%3/10

7.0% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

MGM4 concerns · Avg: 2.5/10
Revenue GrowthGrowth
1.0%4/10

1.0% revenue growth

Profit MarginProfitability
2.4%3/10

2.4% margin — thin

Altman Z-ScoreHealth
0.632/10

Distress zone — elevated risk

Debt/EquityHealth
11.871/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : BABA

The strongest argument for BABA centers on Market Cap, Debt/Equity, PEG Ratio. PEG of 0.52 suggests the stock is reasonably priced for its growth.

Bull Case : MGM

The strongest argument for MGM centers on EPS Growth, PEG Ratio. PEG of 0.51 suggests the stock is reasonably priced for its growth.

Bear Case : BABA

The primary concerns for BABA are P/E Ratio, Return on Equity, Profit Margin.

Bear Case : MGM

The primary concerns for MGM are Revenue Growth, Profit Margin, Altman Z-Score. Debt-to-equity of 11.87 is elevated, increasing financial risk. Thin 2.4% margins leave little buffer for downturns.

Key Dynamics to Monitor

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

BABA is growing revenue faster at 8.6% — sustainability is the question.

MGM generates stronger free cash flow (317M), providing more financial flexibility.

Monitor INTERNET RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MGM scores higher overall (63/100 vs 55/100). BABA offers better value entry with a 58.3% margin of safety. Both earn "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.

MGM Resorts International

CONSUMER CYCLICAL · RESORTS & CASINOS · USA

MGM Resorts International is an American global hospitality and entertainment company operating destination resorts globally.

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