Alibaba Group Holding Ltd (BABA)vsNike Inc (NKE)
BABA
Alibaba Group Holding Ltd
$100.96
+0.72%
CONSUMER CYCLICAL · Cap: $249.37B
NKE
Nike Inc
$37.15
-1.09%
CONSUMER CYCLICAL · Cap: $55.27B
Smart Verdict
WallStSmart Research — data-driven comparison
Alibaba Group Holding Ltd generates 2177% more annual revenue ($1.04T vs $45.89B). BABA leads profitability with a 7.0% profit margin vs 6.7%. BABA appears more attractively valued with a PEG of 0.46. BABA earns a higher WallStSmart Score of 55/100 (C-).
BABA
Buy55
out of 100
Grade: C-
NKE
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+65.0%
Fair Value
$435.28
Current Price
$100.96
$334.32 discount
Margin of Safety
+62.0%
Fair Value
$164.06
Current Price
$37.15
$126.91 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
Conservative balance sheet, low leverage
Large-cap with strong market position
Every $100 of equity generates 20 in profit
Attractively priced relative to earnings
Areas to Watch
ROE of 7.0% — below average capital efficiency
7.0% margin — thin
Weak financial health signals
Earnings declined 79.4%
6.7% margin — thin
Revenue declined 4.3%
Earnings declined 2.1%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : BABA
The strongest argument for BABA centers on Market Cap, PEG Ratio, Price/Book. PEG of 0.46 suggests the stock is reasonably priced for its growth.
Bull Case : NKE
The strongest argument for NKE centers on Market Cap, Return on Equity, P/E Ratio. PEG of 1.40 suggests the stock is reasonably priced for its growth.
Bear Case : BABA
The primary concerns for BABA are Return on Equity, Profit Margin, Piotroski F-Score.
Bear Case : NKE
The primary concerns for NKE are Profit Margin, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
NKE carries more volatility with a beta of 1.10 — expect wider price swings.
BABA is growing revenue faster at 8.6% — sustainability is the question.
NKE generates stronger free cash flow (-64M), providing more financial flexibility.
Monitor INTERNET RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BABA scores higher overall (55/100 vs 52/100). NKE offers better value entry with a 62.0% 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.
Nike Inc
CONSUMER CYCLICAL · FOOTWEAR & ACCESSORIES · USA
Nike, Inc. is an American multinational corporation that is engaged in the design, development, manufacturing, and worldwide marketing and sales of footwear, apparel, equipment, accessories, and services. The company is headquartered near Beaverton, Oregon, in the Portland metropolitan area. It is the world's largest supplier of athletic shoes and apparel and a major manufacturer of sports equipment.
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