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Alibaba Group HoldingBABA -2.14%76 EV-to-OCF is 25.97 as of Jul. 18, 2026, which is 35% above its 10-year median of 19.30. GuruFocus rates BABA with a GF Score™ of 76/100 and a GF Value™ of $119.78 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,128 Retail - Cyclical companies, Alibaba Group Holding ranks worse than 86.52% on this metric.
EV-to-OCF is calculated as enterprise value divided by its cash flow from operations. As of today, Alibaba Group Holding's Enterprise Value is $279,952 Mil.
Alibaba Group Holding's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 was $10,778 Mil. Therefore, Alibaba Group Holding's EV-to-OCF for today is 25.97.
The historical rank and industry rank for Alibaba Group Holding's EV-to-OCF or its related term are showing as below:
BABA'
s EV-to-OCF Range Over the Past 10 Years
Min: 4.9 Med: 19.3 Max: 33.62
Current: 25.97
During the past 13 years, the highest EV-to-OCF of Alibaba Group Holding was 33.62. The lowest was 4.90. And the median was 19.30.
BABA's EV-to-OCF is ranked worse than 86.52% of 1128
companies
in the Retail - Cyclical industry
Industry Median: 7.04
vs BABA: 25.97
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Alibaba Group Holding (NYSE:BABA) EV-to-OCF Explanation
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Alibaba Group Holding's PE Ratio (TTM) for today is calculated as:
Alibaba Group Holding's share price for today is $114.97.
Alibaba Group Holding's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $6.081.
* 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.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Cash Flow from Operations is an important financial metric because it represents the cash generated from operating activities at a company's disposal. Companies with a low EV-to-OCF ratio, combined with a strong balance sheet are generally considered as undervalued.
* 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.
For the Internet Retail subindustry, Alibaba Group Holding's EV-to-OCF, along with its competitors' market caps and EV-to-OCF 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 EV-to-OCF vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Alibaba Group Holding's EV-to-OCF distribution charts can be found below:
* The bar in red indicates where Alibaba Group Holding's EV-to-OCF falls into.
Alibaba Group Holding's current Enterprise Value is $279,952 Mil.
Alibaba Group Holding's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $10,778 Mil.
* 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 EV-to-OCF of 25.97 as of Jul. 18, 2026. This is 35% above median its historical median of 19.30. Over the past decade, Alibaba Group Holding's EV-to-OCF has ranged from 4.90 to 33.62. According to the industry distribution chart, Alibaba Group Holding ranks #976 out of 1128 companies in the Retail - Cyclical industry, placing it in the top 86.5%.
Is Alibaba Group Holding's EV-to-OCF too high?
Alibaba Group Holding's current EV-to-OCF of 25.97 is 35% above median its 10-year median of 19.30. Over the past 10 years, this metric has ranged from a low of 4.90 to a high of 33.62. The Retail - Cyclical industry median EV-to-OCF is 7.04. Alibaba Group Holding's value of 25.97 is 268.9% above this industry median. Based on the distribution chart, Alibaba Group Holding ranks #976 out of 1128 companies in the Retail - Cyclical industry, which is in the bottom quartile relative to peers. Overall, Alibaba Group Holding has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Alibaba Group Holding's EV-to-OCF compare to PDD and MELI?
According to the Retail - Cyclical industry distribution chart, Alibaba Group Holding ranks #976 out of 1128 companies for EV-to-OCF. This places Alibaba Group Holding in the lower half of its industry. The industry median EV-to-OCF is 7.04. Alibaba Group Holding's value of 25.97 is 268.9% above this benchmark. Historically, Alibaba Group Holding's own EV-to-OCF has ranged from 4.90 to 33.62 over the past decade. While the company's 10-year median is 19.30 vs. the industry median of 7.04, Alibaba Group Holding has consistently been above 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 EV-to-OCF for a Retail - Cyclical company?
The median EV-to-OCF among Retail - Cyclical companies is 7.04, based on 1,128 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-OCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-OCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Alibaba Group Holding's current EV-to-OCF of 25.97 is 268.9% above 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 EV-to-OCF mean?
A high EV-to-OCF can signal that a stock is expensive relative to its fundamentals. For the Retail - Cyclical industry, the median EV-to-OCF is 7.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alibaba Group Holding's current EV-to-OCF is 25.97, which is 35% above median its own 10-year median of 19.30. 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 $119.78, compared to a current price of $114.97 — trading 4% below its estimated fair value. The current EV-to-OCF is 25.97, which is 35% above median its 10-year median of 19.30 and 268.9% above the Retail - Cyclical industry median of 7.04. Alibaba Group Holding's overall GF Score™ is 76/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-OCF calculated?
EV-to-OCF is calculated from a company's financial statements. For Alibaba Group Holding (BABA), the current EV-to-OCF is 25.97 as of Jul. 18, 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 $114.97 is trading 4% below its estimated GF Value™ of $119.78.
GuruFocus considers Alibaba Group Holding to be Fairly Valued.
Key valuation signals for BABA:
EV-to-OCF: 25.97 (35% above median its 10-year median of 19.30)
GF Value™: $119.78 vs. price of $114.97 (4% below fair value)
Industry Position: 268.9% above the Retail - Cyclical median (#976 of 1128)
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.
76GF Score
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