Alibaba Group Holding Limited (BABA) vs Costco Wholesale Corporation (COST)
BABA leads on 8 of 15 compared metrics.
A side-by-side comparison of Alibaba Group Holding Limited and Costco Wholesale Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 13, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).
BABA
Alibaba Group Holding Limited
$112.82Consumer Cyclical
COST
Costco Wholesale Corporation
$982.35Consumer Defensive
Total return — BABA vs COST
growth of $100 · last 12yBABA +20.2%COST +676.6%COST compounded faster
Log scale — wide-divergence pair
BABA COST
BABA vs COST: by the numbers
- •COST is the larger company ($435.65B vs $270.67B market cap).
- •BABA trades at the lower earnings multiple (18.22 vs 49.41 P/E).
- •BABA converts more revenue to profit (10.09% vs 3.01% net margin).
- •COST grew revenue faster over the past five years (9.48% vs 6.31% CAGR).
- •BABA pays the higher dividend yield (0.93% vs 0.55%).
Which is better, BABA or COST?
Metric tally: BABA 8 · COST 7It depends on what you're optimizing for:
ValueBABA(lower P/E)
GrowthCOST(faster 5Y revenue CAGR)
IncomeBABA(higher dividend yield)
QualityCOST(higher ROIC)
Valuation
| Metric | BABA | COST |
|---|---|---|
| P/E ratio | 18.22● | 49.41 |
| Forward P/E | — | 43.40 |
| P/S ratio | 1.87 | 1.49● |
| P/B ratio | 1.77● | 13.03 |
| PEG ratio | 0.23● | 5.23 |
| EV / EBITDA | 13.88● | 29.43 |
| FCF yield | — | 2.02% |
Profitability
| Metric | BABA | COST |
|---|---|---|
| Gross margin | 39.77%● | 12.88% |
| Operating margin | 5.78%● | 3.82% |
| Net margin | 10.09%● | 3.01% |
| ROE | 9.58% | 26.38%● |
| ROIC | 3.17% | 19.44%● |
Dividends
| Metric | BABA | COST |
|---|---|---|
| Dividend yield | 0.93%● | 0.55% |
| Payout ratio | 15.89% | 29.44% |
Growth (annualized)
| Metric | BABA | COST |
|---|---|---|
| Revenue CAGR (5Y) | 6.31% | 9.48%● |
| EPS CAGR (5Y) | -4.87% | 15.04%● |
| FCF CAGR (5Y) | -62.38% | 4.95%● |
| Total return CAGR (5Y) | -10.73% | 21.56%● |
Frequently asked
- Which is better, BABA or COST?
- It depends on your goal. value: BABA (lower P/E); growth: COST (faster 5Y revenue CAGR); income: BABA (higher dividend yield); quality: COST (higher ROIC). Across all compared metrics, BABA leads 8 to 7.
- Is BABA or COST cheaper?
- On trailing earnings, BABA is cheaper: BABA trades at a 18.22 P/E and COST at 49.41.
- Which has grown faster, BABA or COST?
- Over the past five years, COST grew revenue faster — BABA at a 6.31% CAGR versus COST at 9.48%.
- Does BABA or COST pay a bigger dividend?
- BABA yields 0.93% and COST yields 0.55% based on trailing dividends and the latest price.
- Is BABA or COST more profitable?
- BABA runs the higher net margin — BABA at 10.09% versus COST at 3.01%.
- Which has been the better investment, BABA or COST?
- Over the past 10-year, COST delivered the higher annualized total return — BABA at 4.68% versus COST at 21.26%. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Alibaba Group P/E ratioCostco Wholesale P/E ratioAlibaba Group dividend yieldCostco Wholesale dividend yieldAlibaba Group ROECostco Wholesale ROEAlibaba Group operating marginCostco Wholesale operating marginAlibaba Group revenue growthCostco Wholesale revenue growthAlibaba Group free cash flowCostco Wholesale free cash flow
Alibaba Group & Costco Wholesale appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 13, 2026.