Alibaba Group Holding Limited (BABA)

Valuation as at 2026-08-29 · see also the S&P 500 Most Undervalued screen

About Alibaba Group Holding Limited

Alibaba Group Holding Limited, through its subsidiaries, provides technology infrastructure and marketing reach to help merchants, brands, retailers, and other businesses in the People's Republic of China and internationally. It operates through the Alibaba China E-Commerce Group, Alibaba International Digital Commerce Group, Cloud Intelligence Group, and All Others segments. The Alibaba China E-commerce Group segment operates Taobao and Tmall, which are digital retail platforms; Taobao Instant Commerce, a local services and on-demand delivery platform; 1688.com, a domestic wholesale marketplace; and Xianyu, a consumer-to-consumer community and marketplace for idle goods.

Source: Yahoo Finance company profile · factual description, not KashVector commentary

Alibaba Group Holding Limited BABA

Consumer Cyclical · Internet Retail

Price
$118.90
Market Cap
$295.54B
Free Cash Flow
$10.89B
Beta
0.51
P/E (TTM)
26.9x
52-Week Range
$91.99–$192.67

Alibaba Group Holding Limited's price & financial trends

Each card is labelled with its own reporting period — quarterly where Yahoo provides it for this market, annual otherwise.

Data as at 2026-08-29

Share price · last 2 years

$116.31 +40% vs 2024-08
S&P 500 $83.34$98.84$113.41$157.30$131.88$116.31 2024-082025-012025-062025-112026-042026-08

Earnings per share (diluted) Per quarter

$10.40 +100% vs Q1 '25
$5.20$18.00$8.72$5.92$10.40Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26

Free cash flow Per quarter

-$117.53B -101% vs Q1 '25
-$58.45B$20.67B$10.10B$36.03B-$117.53BQ1 '25Q2 '25Q3 '25Q4 '25Q1 '26

Dividend per share Per year

$14.03
$0.00$7.05$12.04$14.03FY23FY24FY25FY26

Value investing scale · Buffett · Dalio · Graham

Partial Fit
11 / 20 combined score

See the full Buffett, Dalio & Graham breakdown for BABA →

Intrinsic value estimate · 5-year forecast · Revenue-normalised

BEAR
$72.45
vs current $118.90
-39.1% ❌ Overvalued
BASE
$91.46
vs current $118.90
-23.1% ❌ Overvalued
BULL
$121.39
vs current $118.90
+2.1% ⚠️ Fairly Valued

Assumptions used in this valuation

Every input below is either fetched live from Yahoo Finance or a documented default — nothing is hidden.

Starting free cash flow
$10.89B
Revenue × 7% target margin — reported FCF unavailable
Risk-free rate
4.67% ● LIVE
Live 10-yr govt bond
Beta
0.51
Direct from Yahoo
Equity risk premium
5.50%
Market-specific seed
Cost of debt
5.82%
Synthetic rating A, ICR 6.1x
Tax rate
25.00%
Estimated default
Capital structure
E 88% / D 12%
Market cap vs total debt
Projection horizon
5 years
+ terminal value beyond
BearBaseBull
5-yr FCF growth-7.5%-5.0%-2.5%
Terminal growth2.5%2.5%2.5%
WACC (discount rate)8.11%7.11%6.11%

Cost of Equity = Risk-free rate + Beta × Equity Risk Premium = 4.67% + 0.51 × 5.50% = 7.48% · WACC = weighted by 88%/12% capital structure

These numbers come from running Alibaba Group Holding Limited's cash flows through the mechanical DCF formula and assumptions above — not from any view on the news, management, or BABA's competitive position. What is DCF?

Want to test your own growth or discount-rate assumptions?Open the full interactive calculator, pre-filled with BABA →

Not financial advice. DCF valuations are highly sensitive to assumptions — small changes in growth rate or discount rate produce large swings in output. This is a mechanical calculation, not a recommendation to buy, hold, or sell.

About this valuation

Computed on 2026-08-29 from Yahoo Finance data, using the same engine as the full DCF tool and the S&P 500 Most Undervalued screen. Every figure above is a point-in-time snapshot of that date — change any assumption yourself in the interactive tool for a live one.

Frequently asked questions

Is Alibaba Group Holding Limited (BABA) undervalued?

The Base-case DCF estimates intrinsic value at $91.46 vs a price of $118.90 on 2026-08-29 — a -23.1% margin, so the Base case reads overvalued. This is a mechanical output, not advice.