Alibaba vs Express Which Is Stronger?

Alibaba Group Holding Ltd. and Express Inc. are two prominent players in the e-commerce sector, each with its own unique strengths and opportunities for growth. Alibaba, often referred to as the "Amazon of China," has a dominant position in the Chinese market and has expanded globally. Express, a popular American fashion retailer, has made significant strides in digital transformation and omnichannel strategies. Both stocks have experienced fluctuations in recent years, making them interesting options for investors seeking exposure to the booming e-commerce industry.

Alibaba or Express?

When comparing Alibaba and Express, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Alibaba and Express.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Alibaba has a dividend yield of 2.97%, while Express has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Alibaba reports a 5-year dividend growth of 0.00% year and a payout ratio of 54.40%. On the other hand, Express reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Alibaba P/E ratio at 18.46 and Express's P/E ratio at -0.04. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Alibaba P/B ratio is 1.67 while Express's P/B ratio is 0.02.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Alibaba has seen a 5-year revenue growth of 2.38%, while Express's is 0.00%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Alibaba's ROE at 8.88% and Express's ROE at -48.44%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $88.00 for Alibaba and $0.35 for Express. Over the past year, Alibaba's prices ranged from $66.63 to $117.82, with a yearly change of 76.83%. Express's prices fluctuated between $0.35 and $17.84, with a yearly change of 4997.14%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.