# Alibaba Group Holding Limited American (BABA) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Internet & Direct Marketing Retail. Price $113.24, market value $281.5 billion.

## Valuation
- **P/E (trailing): 25.6×** (5-yr avg 168.6×, 3-yr avg 141.1×). Alibaba Group Holding Limited American trades at 25.6× trailing earnings, well below its own five-year average of 168.6×: cheap by its own standards. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 12.2×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 0.3×**. Each dollar of revenue is priced at 0.3×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 1.7×**. The shares trade at 1.7× book value; book value is a meaningful part of the valuation.
- **Free-cash-flow yield: -17.2%**. Free cash flow is negative: the business is consuming cash, which is normal for heavy investment phases but a warning otherwise.
- **Earnings yield: 3.9%**. The inverse of the P/E: 3.9% of the price is earned each year.

## Profitability
- **Gross margin: 38.2%**. Alibaba Group Holding Limited American keeps 38.2% of revenue after the direct cost of what it sells.
- **Operating margin: 4.2%**. 4.2% of revenue is left after running the business, which leaves little cushion in a downturn.
- **Net margin: 10.1%**. 10.1% of each dollar of sales reaches the bottom line.
- **Return on equity: 9.8%**. 9.8% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on assets: 26.6%**. Each dollar of assets produces 26.6% of profit.

## Growth
- **Revenue growth (1 yr): 8.1%** (3-yr 5.5%/yr, 5-yr 6.3%/yr). Revenue grew 8.1% over the last year, against 6.3% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): -13.0%** (3-yr 17.0%/yr, 5-yr -5.1%/yr). Earnings per share fell 13.0%, slower than revenue, so margins compressed.

## Financial health
- **Interest coverage: 4.6×**. Operating profit covers interest 4.6× over, a safe margin.
- **Current ratio: 1.28** (quick 1.28). Current assets cover the next year's liabilities 1.28 times.
- **Altman Z-score: 2.97**. A Z-score of 2.97 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 3/9**. 3 of 9 checks pass: weak or deteriorating financials.

## Dividends
- **Dividend yield: 0.93%** ($1.05 per share, trailing). Alibaba Group Holding Limited American yields 0.93%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 33%**. 33% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 3**. 3 straight years of increases.

## Analyst view
- **Analyst consensus: strong_buy** (39 analysts). 39 analysts cover Alibaba Group Holding Limited American; the consensus is strong_buy, with an average price target of $186.85 (+65% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -12.7%** (YTD -22.0%, 3-mo -5.6%). The shares are down 12.7% over twelve months including dividends.
- **From 52-week high: -41.2%** (23.1% above the low). Trading 41% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 41**. An RSI of 41 is neutral.
- **Beta (1 yr): 1.22** (volatility 44%). Beta of 1.22 against the S&P 500: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=BABA · Page: https://foliofundamentals.com/stocks/baba

Not investment advice.