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BABA vs. GS: A Head-to-Head Stock Comparison

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Here’s a clear look at BABA and GS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

BABA trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, GS is a standard domestic listing.

SymbolBABAGS
Company NameAlibaba Group Holding LimitedThe Goldman Sachs Group, Inc.
CountryHong KongUnited States
GICS SectorConsumer DiscretionaryFinancials
GICS IndustryBroadline RetailCapital Markets
Market Capitalization287.31 billion USD218.16 billion USD
ExchangeNYSENYSE
Listing DateSeptember 19, 2014May 4, 1999
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of BABA and GS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

BABA vs. GS: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolBABAGS
5-Day Price Return-2.28%-3.55%
13-Week Price Return-2.82%17.70%
26-Week Price Return-0.04%11.05%
52-Week Price Return42.40%42.80%
Month-to-Date Return-0.95%-0.40%
Year-to-Date Return40.92%25.86%
10-Day Avg. Volume11.26M1.61M
3-Month Avg. Volume14.09M2.19M
3-Month Volatility33.97%21.05%
Beta0.111.44

Profitability

Return on Equity (TTM)

BABA

13.27%

Broadline Retail Industry

Max
49.17%
Q3
28.98%
Median
19.22%
Q1
10.86%
Min
-11.14%

BABA’s Return on Equity of 13.27% is on par with the norm for the Broadline Retail industry, indicating its profitability relative to shareholder equity is typical for the sector.

GS

12.67%

Capital Markets Industry

Max
38.97%
Q3
21.61%
Median
13.77%
Q1
8.31%
Min
-4.25%

GS’s Return on Equity of 12.67% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

BABA vs. GS: A comparison of their Return on Equity (TTM) against their respective Broadline Retail and Capital Markets industry benchmarks.

Net Profit Margin (TTM)

BABA

12.99%

Broadline Retail Industry

Max
19.78%
Q3
11.90%
Median
8.63%
Q1
5.21%
Min
0.82%

A Net Profit Margin of 12.99% places BABA in the upper quartile for the Broadline Retail industry, signifying strong profitability and more effective cost management than most of its peers.

GS

12.29%

Capital Markets Industry

Max
66.67%
Q3
35.11%
Median
23.49%
Q1
13.63%
Min
-15.18%

Falling into the lower quartile for the Capital Markets industry, GS’s Net Profit Margin of 12.29% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

BABA vs. GS: A comparison of their Net Profit Margin (TTM) against their respective Broadline Retail and Capital Markets industry benchmarks.

Operating Profit Margin (TTM)

BABA

14.14%

Broadline Retail Industry

Max
27.23%
Q3
15.96%
Median
11.13%
Q1
8.31%
Min
1.77%

BABA’s Operating Profit Margin of 14.14% is around the midpoint for the Broadline Retail industry, indicating that its efficiency in managing core business operations is typical for the sector.

GS

15.68%

Capital Markets Industry

Max
86.40%
Q3
46.46%
Median
32.80%
Q1
18.32%
Min
-21.87%

GS’s Operating Profit Margin of 15.68% is in the lower quartile for the Capital Markets industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

BABA vs. GS: A comparison of their Operating Profit Margin (TTM) against their respective Broadline Retail and Capital Markets industry benchmarks.

Profitability at a Glance

SymbolBABAGS
Return on Equity (TTM)13.27%12.67%
Return on Assets (TTM)7.19%0.89%
Net Profit Margin (TTM)12.99%12.29%
Operating Profit Margin (TTM)14.14%15.68%
Gross Profit Margin (TTM)39.95%38.58%

Financial Strength

Current Ratio (MRQ)

BABA

1.55

Broadline Retail Industry

Max
3.54
Q3
2.42
Median
1.49
Q1
1.22
Min
0.67

BABA’s Current Ratio of 1.55 aligns with the median group of the Broadline Retail industry, indicating that its short-term liquidity is in line with its sector peers.

GS

0.30

Capital Markets Industry

Max
3.76
Q3
1.89
Median
1.01
Q1
0.54
Min
-0.41

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

BABA vs. GS: A comparison of their Current Ratio (MRQ) against their respective Broadline Retail and Capital Markets industry benchmarks.

Debt-to-Equity Ratio (MRQ)

BABA

0.23

Broadline Retail Industry

Max
2.14
Q3
1.34
Median
0.63
Q1
0.27
Min
0.00

Falling into the lower quartile for the Broadline Retail industry, BABA’s Debt-to-Equity Ratio of 0.23 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

GS

9.08

Capital Markets Industry

Max
6.62
Q3
2.84
Median
1.02
Q1
0.32
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

BABA vs. GS: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Broadline Retail and Capital Markets industry benchmarks.

Interest Coverage Ratio (TTM)

BABA

9.56

Broadline Retail Industry

Max
37.34
Q3
20.63
Median
11.28
Q1
4.22
Min
-19.29

BABA’s Interest Coverage Ratio of 9.56 is positioned comfortably within the norm for the Broadline Retail industry, indicating a standard and healthy capacity to cover its interest payments.

GS

--

Capital Markets Industry

Max
126.03
Q3
60.98
Median
11.77
Q1
4.95
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

BABA vs. GS: A comparison of their Interest Coverage Ratio (TTM) against their respective Broadline Retail and Capital Markets industry benchmarks.

Financial Strength at a Glance

SymbolBABAGS
Current Ratio (MRQ)1.550.30
Quick Ratio (MRQ)1.080.30
Debt-to-Equity Ratio (MRQ)0.239.08
Interest Coverage Ratio (TTM)9.56--

Growth

Revenue Growth

BABA vs. GS: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

BABA vs. GS: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

BABA

2.79%

Broadline Retail Industry

Max
5.46%
Q3
2.38%
Median
0.43%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.79%, BABA offers a more attractive income stream than most of its peers in the Broadline Retail industry, signaling a strong commitment to shareholder returns.

GS

2.14%

Capital Markets Industry

Max
10.26%
Q3
4.86%
Median
2.78%
Q1
1.22%
Min
0.00%

GS’s Dividend Yield of 2.14% is consistent with its peers in the Capital Markets industry, providing a dividend return that is standard for its sector.

BABA vs. GS: A comparison of their Dividend Yield (TTM) against their respective Broadline Retail and Capital Markets industry benchmarks.

Dividend Payout Ratio (TTM)

BABA

103.01%

Broadline Retail Industry

Max
131.17%
Q3
63.48%
Median
29.43%
Q1
0.00%
Min
0.00%

BABA’s Dividend Payout Ratio of 103.01% is in the upper quartile for the Broadline Retail industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

GS

29.94%

Capital Markets Industry

Max
200.72%
Q3
101.92%
Median
57.97%
Q1
32.36%
Min
0.00%

GS’s Dividend Payout Ratio of 29.94% is in the lower quartile for the Capital Markets industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

BABA vs. GS: A comparison of their Dividend Payout Ratio (TTM) against their respective Broadline Retail and Capital Markets industry benchmarks.

Dividend at a Glance

SymbolBABAGS
Dividend Yield (TTM)2.79%2.14%
Dividend Payout Ratio (TTM)103.01%29.94%

Valuation

Price-to-Earnings Ratio (TTM)

BABA

16.04

Broadline Retail Industry

Max
66.12
Q3
35.17
Median
16.29
Q1
10.47
Min
5.94

BABA’s P/E Ratio of 16.04 is within the middle range for the Broadline Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

GS

13.98

Capital Markets Industry

Max
58.89
Q3
31.00
Median
18.54
Q1
12.09
Min
5.24

GS’s P/E Ratio of 13.98 is within the middle range for the Capital Markets industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

BABA vs. GS: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Broadline Retail and Capital Markets industry benchmarks.

Price-to-Sales Ratio (TTM)

BABA

2.08

Broadline Retail Industry

Max
5.40
Q3
3.33
Median
2.04
Q1
0.80
Min
0.16

BABA’s P/S Ratio of 2.08 aligns with the market consensus for the Broadline Retail industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

GS

1.72

Capital Markets Industry

Max
14.49
Q3
7.41
Median
4.68
Q1
2.25
Min
0.04

In the lower quartile for the Capital Markets industry, GS’s P/S Ratio of 1.72 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

BABA vs. GS: A comparison of their Price-to-Sales Ratio (TTM) against their respective Broadline Retail and Capital Markets industry benchmarks.

Price-to-Book Ratio (MRQ)

BABA

2.23

Broadline Retail Industry

Max
9.06
Q3
5.22
Median
3.48
Q1
1.90
Min
0.74

BABA’s P/B Ratio of 2.23 is within the conventional range for the Broadline Retail industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

GS

1.75

Capital Markets Industry

Max
9.48
Q3
4.94
Median
2.42
Q1
1.21
Min
0.38

GS’s P/B Ratio of 1.75 is within the conventional range for the Capital Markets industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

BABA vs. GS: A comparison of their Price-to-Book Ratio (MRQ) against their respective Broadline Retail and Capital Markets industry benchmarks.

Valuation at a Glance

SymbolBABAGS
Price-to-Earnings Ratio (TTM)16.0413.98
Price-to-Sales Ratio (TTM)2.081.72
Price-to-Book Ratio (MRQ)2.231.75
Price-to-Free Cash Flow Ratio (TTM)26.784.24