Allan International vs Alibaba Which Offers More Value?

Allan International and Alibaba are two powerhouse companies in the global market, each commanding a significant presence in their respective industries. Allan International, a diversified conglomerate, has long been known for its stable growth and strong financial performance. On the other hand, Alibaba, a leading e-commerce giant based in China, has revolutionized the way consumers shop online and has rapidly expanded its reach internationally. Investors seeking to diversify their portfolio may find opportunities in both Allan International and Alibaba stocks, each offering unique advantages and risks.

Allan International or Alibaba?

When comparing Allan International and Alibaba, 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 Allan International and Alibaba.

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. Allan International has a dividend yield of 47.56%, while Alibaba has a dividend yield of 0.38%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Allan International reports a 5-year dividend growth of 13.18% year and a payout ratio of -94.21%. On the other hand, Alibaba reports a 5-year dividend growth of 0.00% year and a payout ratio of 25.58%.

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 Allan International P/E ratio at -3.43 and Alibaba's P/E ratio at 23.68. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Allan International P/B ratio is 0.31 while Alibaba's P/B ratio is 1.78.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Allan International has seen a 5-year revenue growth of -0.60%, while Alibaba's is 2.38%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Allan International's ROE at -8.66% and Alibaba's ROE at 7.07%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$0.82 for Allan International and $95.05 for Alibaba. Over the past year, Allan International's prices ranged from HK$0.74 to HK$1.18, with a yearly change of 59.46%. Alibaba's prices fluctuated between $66.63 and $117.82, with a yearly change of 76.83%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.