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

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

SymbolBABANVDA
Company NameAlibaba Group Holding LimitedNVIDIA Corporation
CountryHong KongUnited States
GICS SectorConsumer DiscretionaryInformation Technology
GICS IndustryBroadline RetailSemiconductors & Semiconductor Equipment
Market Capitalization302.48 billion USD4,428.54 billion USD
ExchangeNYSENasdaqGS
Listing DateSeptember 19, 2014January 22, 1999
Security TypeADRCommon Stock

Historical Performance

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

Historical Performance at a Glance

SymbolBABANVDA
5-Day Price Return4.88%0.45%
13-Week Price Return-4.29%47.63%
26-Week Price Return26.38%41.12%
52-Week Price Return56.79%66.57%
Month-to-Date Return5.16%2.09%
Year-to-Date Return49.62%35.22%
10-Day Avg. Volume11.40M160.72M
3-Month Avg. Volume16.86M217.70M
3-Month Volatility38.28%29.99%
Beta0.112.16

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.

NVDA

106.92%

Semiconductors & Semiconductor Equipment Industry

Max
52.74%
Q3
23.49%
Median
11.60%
Q1
3.23%
Min
-20.69%

NVDA’s Return on Equity of 106.92% is exceptionally high, placing it well beyond the typical range for the Semiconductors & Semiconductor Equipment industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

BABA vs. NVDA: A comparison of their Return on Equity (TTM) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment 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.

NVDA

51.69%

Semiconductors & Semiconductor Equipment Industry

Max
44.17%
Q3
22.38%
Median
11.95%
Q1
3.21%
Min
-25.16%

NVDA’s Net Profit Margin of 51.69% is exceptionally high, placing it well beyond the typical range for the Semiconductors & Semiconductor Equipment industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

BABA vs. NVDA: A comparison of their Net Profit Margin (TTM) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment 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.

NVDA

58.03%

Semiconductors & Semiconductor Equipment Industry

Max
58.03%
Q3
27.84%
Median
12.45%
Q1
5.15%
Min
-28.61%

An Operating Profit Margin of 58.03% places NVDA in the upper quartile for the Semiconductors & Semiconductor Equipment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

BABA vs. NVDA: A comparison of their Operating Profit Margin (TTM) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment industry benchmarks.

Profitability at a Glance

SymbolBABANVDA
Return on Equity (TTM)13.27%106.92%
Return on Assets (TTM)7.19%73.45%
Net Profit Margin (TTM)12.99%51.69%
Operating Profit Margin (TTM)14.14%58.03%
Gross Profit Margin (TTM)39.95%70.52%

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.

NVDA

3.39

Semiconductors & Semiconductor Equipment Industry

Max
8.42
Q3
4.70
Median
2.75
Q1
2.07
Min
1.04

NVDA’s Current Ratio of 3.39 aligns with the median group of the Semiconductors & Semiconductor Equipment industry, indicating that its short-term liquidity is in line with its sector peers.

BABA vs. NVDA: A comparison of their Current Ratio (MRQ) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment 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.

NVDA

0.10

Semiconductors & Semiconductor Equipment Industry

Max
1.09
Q3
0.45
Median
0.22
Q1
0.01
Min
0.00

NVDA’s Debt-to-Equity Ratio of 0.10 is typical for the Semiconductors & Semiconductor Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

BABA vs. NVDA: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment 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.

NVDA

75.66

Semiconductors & Semiconductor Equipment Industry

Max
174.00
Q3
81.10
Median
27.22
Q1
7.28
Min
-4.26

NVDA’s Interest Coverage Ratio of 75.66 is positioned comfortably within the norm for the Semiconductors & Semiconductor Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

BABA vs. NVDA: A comparison of their Interest Coverage Ratio (TTM) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment industry benchmarks.

Financial Strength at a Glance

SymbolBABANVDA
Current Ratio (MRQ)1.553.39
Quick Ratio (MRQ)1.082.86
Debt-to-Equity Ratio (MRQ)0.230.10
Interest Coverage Ratio (TTM)9.5675.66

Growth

Revenue Growth

BABA vs. NVDA: 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. NVDA: 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

2.85%

Broadline Retail Industry

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

With a Dividend Yield of 2.85%, BABA offers a more attractive income stream than most of its peers in the Broadline Retail industry, signaling a strong commitment to shareholder returns.

NVDA

0.02%

Semiconductors & Semiconductor Equipment Industry

Max
4.16%
Q3
1.78%
Median
0.74%
Q1
0.00%
Min
0.00%

NVDA’s Dividend Yield of 0.02% is consistent with its peers in the Semiconductors & Semiconductor Equipment industry, providing a dividend return that is standard for its sector.

BABA vs. NVDA: A comparison of their Dividend Yield (TTM) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment 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.

NVDA

1.28%

Semiconductors & Semiconductor Equipment Industry

Max
196.12%
Q3
87.72%
Median
26.57%
Q1
0.00%
Min
0.00%

NVDA’s Dividend Payout Ratio of 1.28% is within the typical range for the Semiconductors & Semiconductor Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

BABA vs. NVDA: A comparison of their Dividend Payout Ratio (TTM) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment industry benchmarks.

Dividend at a Glance

SymbolBABANVDA
Dividend Yield (TTM)2.85%0.02%
Dividend Payout Ratio (TTM)103.01%1.28%

Valuation

Price-to-Earnings Ratio (TTM)

BABA

15.70

Broadline Retail Industry

Max
66.12
Q3
35.17
Median
16.29
Q1
10.47
Min
5.94

BABA’s P/E Ratio of 15.70 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.

NVDA

58.13

Semiconductors & Semiconductor Equipment Industry

Max
109.37
Q3
57.11
Median
28.95
Q1
22.13
Min
11.14

A P/E Ratio of 58.13 places NVDA in the upper quartile for the Semiconductors & Semiconductor Equipment industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

BABA vs. NVDA: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment industry benchmarks.

Price-to-Sales Ratio (TTM)

BABA

2.04

Broadline Retail Industry

Max
5.40
Q3
3.33
Median
2.04
Q1
0.80
Min
0.16

BABA’s P/S Ratio of 2.04 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.

NVDA

30.05

Semiconductors & Semiconductor Equipment Industry

Max
16.09
Q3
10.10
Median
4.82
Q1
2.60
Min
0.93

With a P/S Ratio of 30.05, NVDA trades at a valuation that eclipses even the highest in the Semiconductors & Semiconductor Equipment industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

BABA vs. NVDA: A comparison of their Price-to-Sales Ratio (TTM) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment 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.

NVDA

31.64

Semiconductors & Semiconductor Equipment Industry

Max
13.56
Q3
6.75
Median
3.68
Q1
1.89
Min
0.60

At 31.64, NVDA’s P/B Ratio is at an extreme premium to the Semiconductors & Semiconductor Equipment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

BABA vs. NVDA: A comparison of their Price-to-Book Ratio (MRQ) against their respective Broadline Retail and Semiconductors & Semiconductor Equipment industry benchmarks.

Valuation at a Glance

SymbolBABANVDA
Price-to-Earnings Ratio (TTM)15.7058.13
Price-to-Sales Ratio (TTM)2.0430.05
Price-to-Book Ratio (MRQ)2.2331.64
Price-to-Free Cash Flow Ratio (TTM)26.2261.93