Alibaba Group Holding Limited (BABA)

125.66 0.00%
Dec 07 close; Powered by IEX
Bull case
Stock price low relative to the 52-week range
Revenue growth higher than the industry and sector averages
Forward P/E ratio low relative to industry peers
Forward P/B ratio low relative to industry peers
Forward P/S ratio low relative to industry peers
Buy analyst rating
Bear case
Company’s profitability is declining
Forward PEG ratio high relative to industry peers
High short interest

Bull case

  1. BABA stock price ($122.47) is at the 52-week low. Perhaps now is a good time to buy? See BABA price chart.
  2. BABA quarterly revenue growth was 63.90%, higher than the industry and sector average revenue growth (10.78% and 9.63%, respectively). See BABA revenue growth chart.
  3. BABA forward P/E ratio is 12.06, which is low compared to its industry peers’ P/E ratios. See BABA forward P/E ratio chart.
  4. BABA Price/Book ratio is 0.42, which is low compared to its industry peers’ P/B ratios. See BABA forward Price/Book ratio chart.
  5. BABA Price/Sales ratio is 0.54, which is low compared to its industry peers’ P/S ratios. See BABA forward Price/Sales ratio chart.
  6. BABA average analyst rating is Strong Buy. See BABA analyst rating chart.

Bear case

  1. BABA profitability is declining. The YoY profit margin change was -2.32 percentage points. See BABA profitability chart.
  2. BABA PEG ratio (P/E adjusted for growth) is 43.24, which is high compared to its industry peers’ PEG ratios. See BABA PEG chart.
  3. BABA short interest (days to cover the shorts) ratio is 2.64. The stock garners more short interest than the average industry, sector or S&P 500 stock. See BABA short interest ratio chart.