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

Updated on October 8, 2025

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

Symbol	BABA	WFC
Company Name	Alibaba Group Holding Limited	Wells Fargo & Company
Country	Hong Kong	United States
GICS Sector	Consumer Discretionary	Financials
GICS Industry	Broadline Retail	Banks
Market Capitalization	434.16 billion USD	258.49 billion USD
Exchange	NYSE	NYSE
Listing Date	September 19, 2014	June 1, 1972
Security Type	ADR	Common Stock

Historical Performance

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

Historical Performance at a Glance

Symbol	BABA	WFC
5-Day Price Return	4.75%	-3.73%
13-Week Price Return	76.17%	-2.00%
26-Week Price Return	41.09%	13.15%
52-Week Price Return	65.92%	46.76%
Month-to-Date Return	4.75%	-3.73%
Year-to-Date Return	120.80%	14.88%
10-Day Avg. Volume	21.15M	11.39M
3-Month Avg. Volume	16.68M	15.97M
3-Month Volatility	48.99%	23.92%
Beta	0.31	1.13

Profitability

Return on Equity (TTM)

BABA

14.91%

Broadline Retail Industry

Max: 47.53%
Q3: 31.20%
Median: 16.63%
Q1: 10.81%
Min: -7.57%

BABA’s Return on Equity of 14.91% is on par with the norm for the Broadline Retail industry, indicating its profitability relative to shareholder equity is typical for the sector.

WFC

11.36%

Banks Industry

Max: 25.40%
Q3: 15.55%
Median: 12.00%
Q1: 8.98%
Min: -0.10%

WFC’s Return on Equity of 11.36% is on par with the norm for the Banks industry, indicating its profitability relative to shareholder equity is typical for the sector.

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

Net Profit Margin (TTM)

BABA

14.82%

Broadline Retail Industry

Max: 24.63%
Q3: 12.77%
Median: 8.63%
Q1: 4.50%
Min: -1.62%

A Net Profit Margin of 14.82% places BABA in the upper quartile for the Broadline Retail industry, signifying strong profitability and more effective cost management than most of its peers.

WFC

22.19%

Banks Industry

Max: 54.20%
Q3: 35.73%
Median: 28.97%
Q1: 22.56%
Min: 6.98%

Falling into the lower quartile for the Banks industry, WFC’s Net Profit Margin of 22.19% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

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

Operating Profit Margin (TTM)

BABA

13.98%

Broadline Retail Industry

Max: 27.48%
Q3: 17.60%
Median: 10.82%
Q1: 7.76%
Min: -6.73%

BABA’s Operating Profit Margin of 13.98% is around the midpoint for the Broadline Retail industry, indicating that its efficiency in managing core business operations is typical for the sector.

WFC

25.35%

Banks Industry

Max: 63.35%
Q3: 44.73%
Median: 37.24%
Q1: 28.25%
Min: 12.28%

WFC’s Operating Profit Margin of 25.35% is in the lower quartile for the Banks industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

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

Profitability at a Glance

Symbol	BABA	WFC
Return on Equity (TTM)	14.91%	11.36%
Return on Assets (TTM)	8.16%	1.06%
Net Profit Margin (TTM)	14.82%	22.19%
Operating Profit Margin (TTM)	13.98%	25.35%
Gross Profit Margin (TTM)	41.18%	--

Financial Strength

Current Ratio (MRQ)

BABA

1.45

Broadline Retail Industry

Max: 3.54
Q3: 2.42
Median: 1.38
Q1: 1.20
Min: 0.69

BABA’s Current Ratio of 1.45 aligns with the median group of the Broadline Retail industry, indicating that its short-term liquidity is in line with its sector peers.

WFC

Banks Industry

Max: --
Q3: --
Median: --
Q1: --
Min: --

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

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

Debt-to-Equity Ratio (MRQ)

BABA

0.23

Broadline Retail Industry

Max: 2.01
Q3: 1.31
Median: 0.72
Q1: 0.32
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.

WFC

2.01

Banks Industry

Max: 5.78
Q3: 2.66
Median: 1.05
Q1: 0.40
Min: 0.00

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

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

Interest Coverage Ratio (TTM)

BABA

9.56

Broadline Retail Industry

Max: 37.34
Q3: 21.16
Median: 8.60
Q1: 3.22
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.

WFC

Banks Industry

Max: --
Q3: --
Median: --
Q1: --
Min: --

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

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

Financial Strength at a Glance

Symbol	BABA	WFC
Current Ratio (MRQ)	1.45	--
Quick Ratio (MRQ)	0.97	--
Debt-to-Equity Ratio (MRQ)	0.23	2.01
Interest Coverage Ratio (TTM)	9.56	--

Growth

Revenue Growth

BABA vs. WFC: 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. WFC: 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

1.79%

Broadline Retail Industry

Max: 4.06%
Q3: 2.07%
Median: 0.37%
Q1: 0.00%
Min: 0.00%

BABA’s Dividend Yield of 1.79% is consistent with its peers in the Broadline Retail industry, providing a dividend return that is standard for its sector.

WFC

2.46%

Banks Industry

Max: 11.03%
Q3: 6.00%
Median: 3.87%
Q1: 2.41%
Min: 0.00%

WFC’s Dividend Yield of 2.46% is consistent with its peers in the Banks industry, providing a dividend return that is standard for its sector.

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

Dividend Payout Ratio (TTM)

BABA

103.01%

Broadline Retail Industry

Max: 114.82%
Q3: 62.39%
Median: 28.55%
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.

WFC

31.00%

Banks Industry

Max: 134.24%
Q3: 79.39%
Median: 55.09%
Q1: 36.09%
Min: 0.00%

WFC’s Dividend Payout Ratio of 31.00% is in the lower quartile for the Banks industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

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

Dividend at a Glance

Symbol	BABA	WFC
Dividend Yield (TTM)	1.79%	2.46%
Dividend Payout Ratio (TTM)	103.01%	31.00%

Valuation

Price-to-Earnings Ratio (TTM)

BABA

21.77

Broadline Retail Industry

Max: 62.76
Q3: 32.50
Median: 17.65
Q1: 12.08
Min: 6.87

BABA’s P/E Ratio of 21.77 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.

WFC

12.60

Banks Industry

Max: 22.69
Q3: 13.75
Median: 10.32
Q1: 7.73
Min: 2.59

WFC’s P/E Ratio of 12.60 is within the middle range for the Banks 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. WFC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Broadline Retail and Banks industry benchmarks.

Price-to-Sales Ratio (TTM)

BABA

3.23

Broadline Retail Industry

Max: 5.19
Q3: 3.25
Median: 2.13
Q1: 1.01
Min: 0.21

BABA’s P/S Ratio of 3.23 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.

WFC

1.91

Banks Industry

Max: 4.90
Q3: 2.98
Median: 2.24
Q1: 1.59
Min: 0.45

The P/S Ratio is often not a primary valuation tool in the Banks industry.

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

Price-to-Book Ratio (MRQ)

BABA

1.90

Broadline Retail Industry

Max: 8.81
Q3: 5.19
Median: 3.42
Q1: 1.75
Min: 0.73

BABA’s P/B Ratio of 1.90 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.

WFC

1.42

Banks Industry

Max: 2.09
Q3: 1.40
Median: 1.11
Q1: 0.86
Min: 0.29

WFC’s P/B Ratio of 1.42 is in the upper tier for the Banks 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. WFC: A comparison of their Price-to-Book Ratio (MRQ) against their respective Broadline Retail and Banks industry benchmarks.

Valuation at a Glance

Symbol	BABA	WFC
Price-to-Earnings Ratio (TTM)	21.77	12.60
Price-to-Sales Ratio (TTM)	3.23	1.91
Price-to-Book Ratio (MRQ)	1.90	1.42
Price-to-Free Cash Flow Ratio (TTM)	41.65	17.10