Alibaba Group HoldingBABA +1.07%83 Debt-to-Equity is 0.27 as of Mar. 2026, which is 17% above its 10-year median of 0.23. GuruFocus rates BABA with a GF Score™ of 83/100 and a GF Value™ of $119.50 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,012 Retail - Cyclical companies, Alibaba Group Holding ranks better than 71.54% on this metric.
A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.
The historical rank and industry rank for Alibaba Group Holding's Debt-to-Equity or its related term are showing as below:
BABA'
s Debt-to-Equity Range Over the Past 10 Years
Min: 0.19 Med: 0.23 Max: 0.34
Current: 0.27
During the past 13 years, the highest Debt-to-Equity Ratio of Alibaba Group Holding was 0.34. The lowest was 0.19. And the median was 0.23.
BABA's Debt-to-Equity is ranked better than 71.54% of 1012
companies
in the Retail - Cyclical industry
Industry Median: 0.56
vs BABA: 0.27
Alibaba Group Holding (NYSE:BABA) Debt-to-Equity Explanation
Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.
Alibaba Group Holding Debt-to-Equity Related Terms
Alibaba Group Holding Debt-to-Equity Historical Data
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The historical data trend for Alibaba Group Holding's Debt-to-Equity 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.
BABA vs PDD, MELI, DASH: Debt-to-Equity Comparison
For the Internet Retail subindustry, Alibaba Group Holding's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity 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 Debt-to-Equity vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Alibaba Group Holding's Debt-to-Equity distribution charts can be found below:
* The bar in red indicates where Alibaba Group Holding's Debt-to-Equity falls into.
* 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 (BABA) has a Debt-to-Equity of 0.27 as of Mar. 2026. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Alibaba Group Holding and its competitors. This is 17% above median its historical median of 0.23. Over the past decade, Alibaba Group Holding's Debt-to-Equity has ranged from 0.19 to 0.34. According to the industry distribution chart, Alibaba Group Holding ranks #288 out of 1012 companies in the Retail - Cyclical industry, placing it in the top 28.5%.
Is Alibaba Group Holding's Debt-to-Equity too high?
Alibaba Group Holding's current Debt-to-Equity of 0.27 is 17% above median its 10-year median of 0.23. Over the past 10 years, this metric has ranged from a low of 0.19 to a high of 0.34. The Retail - Cyclical industry median Debt-to-Equity is 0.56. Alibaba Group Holding's value of 0.27 is 51.8% below this industry median. Based on the distribution chart, Alibaba Group Holding ranks #288 out of 1012 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Alibaba Group Holding has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Alibaba Group Holding's Debt-to-Equity compare to PDD and MELI?
According to the Retail - Cyclical industry distribution chart, Alibaba Group Holding ranks #288 out of 1012 companies for Debt-to-Equity. This puts Alibaba Group Holding in the upper half of its industry. The industry median Debt-to-Equity is 0.56. Alibaba Group Holding's value of 0.27 is 51.8% below this benchmark. Historically, Alibaba Group Holding's own Debt-to-Equity has ranged from 0.19 to 0.34 over the past decade. While the company's 10-year median is 0.23 vs. the industry median of 0.56, Alibaba Group Holding has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for a Retail - Cyclical company?
The median Debt-to-Equity among Retail - Cyclical companies is 0.56, based on 1,012 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Alibaba Group Holding's current Debt-to-Equity of 0.27 is 51.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Alibaba Group Holding and its competitors. For the Retail - Cyclical industry, the median Debt-to-Equity is 0.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alibaba Group Holding's current Debt-to-Equity is 0.27, which is 17% above median its own 10-year median of 0.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alibaba Group Holding stock overvalued right now?
Based on GuruFocus' analysis, Alibaba Group Holding (BABA) is currently considered Fairly Valued. The stock's GF Value™ is $119.50, compared to a current price of $112.33 — trading 6% below its estimated fair value. The current Debt-to-Equity is 0.27, which is 17% above median its 10-year median of 0.23 and 51.8% below the Retail - Cyclical industry median of 0.56. Alibaba Group Holding's overall GF Score™ is 83/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For Alibaba Group Holding (BABA), the current Debt-to-Equity is 0.27 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Alibaba Group Holding (BABA) Overvalued in 2026?
Based on GuruFocus' analysis, Alibaba Group Holding stock appears to be undervalued.
The current stock price of $112.33 is trading 6% below its estimated GF Value™ of $119.50.
GuruFocus considers Alibaba Group Holding to be Fairly Valued.
Key valuation signals for BABA:
Debt-to-Equity: 0.27 (17% above median its 10-year median of 0.23)
GF Value™: $119.50 vs. price of $112.33 (6% below fair value)
Industry Position: 51.8% below the Retail - Cyclical median (#288 of 1012)
No single metric tells the full story. See the BABA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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 retail e-commerce platform is the most valuable cash flow-generating business at Alibaba. Additional revenue sources include China wholesale e-commerce, international retail and wholesale e-commerce, local consumer services, travel services, cloud computing, digital media and entertainment, Cainiao logistics services, and other businesses.
83GF Score
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