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BABA (Alibaba Group Holding) Cyclically Adjusted PB Ratio : 2.31 (As of Dec. 13, 2024)


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What is Alibaba Group Holding Cyclically Adjusted PB Ratio?

As of today (2024-12-13), Alibaba Group Holding's current share price is $87.395. Alibaba Group Holding's Cyclically Adjusted Book per Share for the quarter that ended in Sep. 2024 was $37.83. Alibaba Group Holding's Cyclically Adjusted PB Ratio for today is 2.31.

The historical rank and industry rank for Alibaba Group Holding's Cyclically Adjusted PB Ratio or its related term are showing as below:

BABA' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 1.96   Med: 3.45   Max: 19.8
Current: 2.35

During the past years, Alibaba Group Holding's highest Cyclically Adjusted PB Ratio was 19.80. The lowest was 1.96. And the median was 3.45.

BABA's Cyclically Adjusted PB Ratio is ranked worse than
69.75% of 747 companies
in the Retail - Cyclical industry
Industry Median: 1.21 vs BABA: 2.35

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Alibaba Group Holding's adjusted book value per share data for the three months ended in Sep. 2024 was $56.289. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $37.83 for the trailing ten years ended in Sep. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Alibaba Group Holding Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Alibaba Group Holding's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Alibaba Group Holding Cyclically Adjusted PB Ratio Chart

Alibaba Group Holding Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only - 11.81 4.33 3.26 2.06

Alibaba Group Holding Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.65 2.30 2.06 1.98 2.81

Competitive Comparison of Alibaba Group Holding's Cyclically Adjusted PB Ratio

For the Internet Retail subindustry, Alibaba Group Holding's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Alibaba Group Holding's Cyclically Adjusted PB Ratio Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Alibaba Group Holding's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Alibaba Group Holding's Cyclically Adjusted PB Ratio falls into.



Alibaba Group Holding Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Alibaba Group Holding's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=87.395/37.83
=2.31

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Alibaba Group Holding's Cyclically Adjusted Book per Share for the quarter that ended in Sep. 2024 is calculated as:

For example, Alibaba Group Holding's adjusted Book Value per Share data for the three months ended in Sep. 2024 was:

Adj_Book=Book Value per Share/CPI of Sep. 2024 (Change)*Current CPI (Sep. 2024)
=56.289/118.5049*118.5049
=56.289

Current CPI (Sep. 2024) = 118.5049.

Alibaba Group Holding Quarterly Data

Book Value per Share CPI Adj_Book
201412 8.907 99.707 10.586
201503 9.342 99.927 11.079
201506 11.810 99.267 14.099
201509 11.700 99.927 13.875
201512 13.475 102.015 15.653
201603 13.488 102.785 15.551
201606 13.674 101.686 15.936
201609 14.777 102.565 17.074
201612 15.065 103.225 17.295
201703 15.989 103.335 18.336
201706 17.345 103.664 19.828
201709 19.114 103.994 21.781
201712 20.638 104.984 23.296
201803 22.515 105.973 25.178
201806 23.640 106.193 26.381
201809 23.771 106.852 26.363
201812 25.880 107.622 28.497
201903 28.349 108.172 31.057
201906 29.013 109.601 31.370
201909 32.489 110.260 34.918
201912 39.547 110.700 42.335
202003 40.052 110.920 42.791
202006 42.223 110.590 45.245
202009 46.506 107.512 51.261
202012 52.828 109.711 57.063
202103 53.084 111.579 56.379
202106 55.857 111.360 59.441
202109 55.011 109.051 59.780
202112 56.918 112.349 60.037
202203 55.997 113.558 58.436
202206 54.329 113.448 56.751
202209 51.007 113.778 53.126
202212 54.102 114.548 55.971
202303 55.975 115.427 57.468
202306 55.499 115.647 56.871
202309 55.691 116.087 56.851
202312 56.614 117.296 57.198
202403 56.291 117.735 56.659
202406 54.373 117.296 54.934
202409 56.289 118.505 56.289

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Alibaba Group Holding  (NYSE:BABA) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Alibaba Group Holding Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Alibaba Group Holding's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Alibaba Group Holding Business Description

Address
1 Matheson Street, Causeway Bay, 26th Floor, Tower One, Times Square, Hong Kong, HKG
Alibaba is the world's largest online and mobile commerce company as measured by gross merchandise volume. It operates China's online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer). The China commerce retail division is the most valuable cash flow-generating business at Alibaba. Additional revenue sources include China commerce wholesale, international commerce retail/wholesale, local consumer services, cloud computing, digital media and entertainment platforms, Cainiao logistics services, and innovation initiatives/other.