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BABA (Alibaba Group Holding) 10-Year ROIIC % : 6.26% (As of Mar. 2024)


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What is Alibaba Group Holding 10-Year ROIIC %?

10-Year Return on Invested Incremental Capital (10-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 10-year. Alibaba Group Holding's 10-Year ROIIC % for the quarter that ended in Mar. 2024 was 6.26%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Alibaba Group Holding's 10-Year ROIIC % or its related term are showing as below:

BABA's 10-Year ROIIC % is ranked better than
56.06% of 999 companies
in the Retail - Cyclical industry
Industry Median: 3.61 vs BABA: 6.26

Alibaba Group Holding 10-Year ROIIC % Historical Data

The historical data trend for Alibaba Group Holding's 10-Year ROIIC % 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 10-Year ROIIC % Chart

Alibaba Group Holding Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
10-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.42 5.94 3.97 6.24 6.26

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
10-Year ROIIC % 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 - - 6.26 - -

Competitive Comparison of Alibaba Group Holding's 10-Year ROIIC %

For the Internet Retail subindustry, Alibaba Group Holding's 10-Year ROIIC %, along with its competitors' market caps and 10-Year ROIIC % 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 10-Year ROIIC % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Alibaba Group Holding's 10-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Alibaba Group Holding's 10-Year ROIIC % falls into.



Alibaba Group Holding 10-Year ROIIC % Calculation

Alibaba Group Holding's 10-Year ROIIC % for the quarter that ended in Mar. 2024 is calculated as:

10-Year ROIIC %=10-Year Incremental Net Operating Profit After Taxes (NOPAT)**/10-Year Incremental Invested Capital**
=( 13385.6018604 (Mar. 2024) - 3598.0257216 (Mar. 2014) )/( 167516.628 (Mar. 2024) - 11148.407 (Mar. 2014) )
=9787.5761388/156368.221
=6.26%***

* 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.

** Annual data of NOPAT and Invested Capital was used to calculate 10-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Alibaba Group Holding  (NYSE:BABA) 10-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Alibaba Group Holding 10-Year ROIIC % Related Terms

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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.