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

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Here’s a clear look at BABA and META, 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, META is a standard domestic listing.

SymbolBABAMETA
Company NameAlibaba Group Holding LimitedMeta Platforms, Inc.
CountryHong KongUnited States
GICS SectorConsumer DiscretionaryCommunication Services
GICS IndustryBroadline RetailInteractive Media & Services
Market Capitalization296.47 billion USD1,892.39 billion USD
ExchangeNYSENasdaqGS
Listing DateSeptember 19, 2014May 18, 2012
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of BABA and META 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. META: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolBABAMETA
5-Day Price Return3.63%0.24%
13-Week Price Return2.36%18.34%
26-Week Price Return-1.14%7.04%
52-Week Price Return49.89%41.62%
Month-to-Date Return3.08%-2.60%
Year-to-Date Return46.66%28.66%
10-Day Avg. Volume11.60M11.19M
3-Month Avg. Volume13.48M13.16M
3-Month Volatility34.81%32.96%
Beta0.111.22

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.

META

39.33%

Interactive Media & Services Industry

Max
49.37%
Q3
29.69%
Median
9.73%
Q1
2.47%
Min
-26.19%

In the upper quartile for the Interactive Media & Services industry, META’s Return on Equity of 39.33% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

BABA vs. META: A comparison of their Return on Equity (TTM) against their respective Broadline Retail and Interactive Media & Services 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.

META

39.99%

Interactive Media & Services Industry

Max
50.41%
Q3
29.38%
Median
17.14%
Q1
3.13%
Min
-30.88%

A Net Profit Margin of 39.99% places META in the upper quartile for the Interactive Media & Services industry, signifying strong profitability and more effective cost management than most of its peers.

BABA vs. META: A comparison of their Net Profit Margin (TTM) against their respective Broadline Retail and Interactive Media & Services 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.

META

44.02%

Interactive Media & Services Industry

Max
65.96%
Q3
36.95%
Median
18.60%
Q1
5.69%
Min
-18.13%

An Operating Profit Margin of 44.02% places META in the upper quartile for the Interactive Media & Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

BABA vs. META: A comparison of their Operating Profit Margin (TTM) against their respective Broadline Retail and Interactive Media & Services industry benchmarks.

Profitability at a Glance

SymbolBABAMETA
Return on Equity (TTM)13.27%39.33%
Return on Assets (TTM)7.19%25.83%
Net Profit Margin (TTM)12.99%39.99%
Operating Profit Margin (TTM)14.14%44.02%
Gross Profit Margin (TTM)39.95%81.95%

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.

META

1.97

Interactive Media & Services Industry

Max
4.30
Q3
2.68
Median
1.96
Q1
1.21
Min
0.45

META’s Current Ratio of 1.97 aligns with the median group of the Interactive Media & Services industry, indicating that its short-term liquidity is in line with its sector peers.

BABA vs. META: A comparison of their Current Ratio (MRQ) against their respective Broadline Retail and Interactive Media & Services 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.

META

0.15

Interactive Media & Services Industry

Max
0.90
Q3
0.47
Median
0.16
Q1
0.03
Min
0.00

META’s Debt-to-Equity Ratio of 0.15 is typical for the Interactive Media & Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

BABA vs. META: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Broadline Retail and Interactive Media & Services 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.

META

168.41

Interactive Media & Services Industry

Max
67.60
Q3
29.41
Median
6.36
Q1
-0.87
Min
-37.02

With an Interest Coverage Ratio of 168.41, META demonstrates a superior capacity to service its debt, placing it well above the typical range for the Interactive Media & Services industry. This stems from either robust earnings or a conservative debt load.

BABA vs. META: A comparison of their Interest Coverage Ratio (TTM) against their respective Broadline Retail and Interactive Media & Services industry benchmarks.

Financial Strength at a Glance

SymbolBABAMETA
Current Ratio (MRQ)1.551.97
Quick Ratio (MRQ)1.081.71
Debt-to-Equity Ratio (MRQ)0.230.15
Interest Coverage Ratio (TTM)9.56168.41

Growth

Revenue Growth

BABA vs. META: 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. META: 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.

META

0.27%

Interactive Media & Services Industry

Max
1.87%
Q3
1.08%
Median
0.00%
Q1
0.00%
Min
0.00%

META’s Dividend Yield of 0.27% is consistent with its peers in the Interactive Media & Services industry, providing a dividend return that is standard for its sector.

BABA vs. META: A comparison of their Dividend Yield (TTM) against their respective Broadline Retail and Interactive Media & Services 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.

META

7.26%

Interactive Media & Services Industry

Max
87.35%
Q3
38.67%
Median
0.00%
Q1
0.00%
Min
0.00%

META’s Dividend Payout Ratio of 7.26% is within the typical range for the Interactive Media & Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

BABA vs. META: A comparison of their Dividend Payout Ratio (TTM) against their respective Broadline Retail and Interactive Media & Services industry benchmarks.

Dividend at a Glance

SymbolBABAMETA
Dividend Yield (TTM)2.79%0.27%
Dividend Payout Ratio (TTM)103.01%7.26%

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.

META

26.40

Interactive Media & Services Industry

Max
87.79
Q3
54.33
Median
25.46
Q1
18.76
Min
6.96

META’s P/E Ratio of 26.40 is within the middle range for the Interactive Media & Services 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. META: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Broadline Retail and Interactive Media & Services 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.

META

10.56

Interactive Media & Services Industry

Max
19.01
Q3
12.39
Median
6.49
Q1
1.94
Min
0.22

META’s P/S Ratio of 10.56 aligns with the market consensus for the Interactive Media & Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

BABA vs. META: A comparison of their Price-to-Sales Ratio (TTM) against their respective Broadline Retail and Interactive Media & Services 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.

META

9.51

Interactive Media & Services Industry

Max
11.66
Q3
7.17
Median
4.17
Q1
2.80
Min
0.12

META’s P/B Ratio of 9.51 is in the upper tier for the Interactive Media & Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

BABA vs. META: A comparison of their Price-to-Book Ratio (MRQ) against their respective Broadline Retail and Interactive Media & Services industry benchmarks.

Valuation at a Glance

SymbolBABAMETA
Price-to-Earnings Ratio (TTM)16.0426.40
Price-to-Sales Ratio (TTM)2.0810.56
Price-to-Book Ratio (MRQ)2.239.51
Price-to-Free Cash Flow Ratio (TTM)26.7837.65