Alibaba Group Holding Limited (BABA) P/E Ratio History
ExpensiveTrading at 17.7x vs 5Y avg 4.5x · 95th percentile · Material premium to history · Data 2015–2027
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P/E Ratio Analysis
As of September 23, 2026, Alibaba Group Holding Limited (BABA) trades at a price-to-earnings ratio of 17.7x, with a stock price of $116.27 and trailing twelve-month earnings per share of $30.44.
The current P/E is 293% above its 5-year average of 4.5x. Over the past five years, BABA's P/E has ranged from a low of 1.6x to a high of 25.6x, placing the current valuation at the 95th percentile of its historical range.
Compared to the Consumer Cyclical sector median P/E of 19.3x, BABA is roughly in line with its sector peers. The sector includes 310 companies with P/E ratios ranging from 0.0x to 184.9x.
Relative to the broader market, BABA trades at a notable discount to the S&P 500 median P/E of 25.5x. Investors should consider the company's growth prospects, competitive position, and earnings quality when evaluating whether the current valuation is justified.
For a comprehensive intrinsic value estimate using discounted cash flow analysis, see our BABA DCF Valuation Calculator →
Note: P/E ratio is just one valuation metric. It does not account for balance sheet strength, cash flow quality, or growth sustainability. Always conduct comprehensive due diligence before making investment decisions.
BABA Cross-Benchmark Valuation
How does the current P/E compare to sector peers and the broader market?
BABA P/E vs Peers
General Online Marketplaces peers sorted by market cap
| Company | Market Cap | P/E Ratio | PEG Ratio | EPS Growth (1Y) |
|---|---|---|---|---|
| $38B | 14.2 | - | -52% | |
| $114B | 8.2Lowest | - | -14% | |
| $2.7T | 35.6 | 1.27 | +30% | |
| $31B | 52.6 | - | -82% | |
| $62B | 41.1 | - | +245%Best | |
| $49B | 25.2 | - | +10% | |
| $3.7T | 27.7 | 1.59 | +32% | |
| $4.2T | 32.5 | 1.09Best | +34% | |
| $878B | 40.3 | 3.67 | +13% | |
| $192B | 157.2 | 5.36 | -39% |
Lower P/E can signal a discount or weaker growth expectations; PEG adds growth context.
BABA Historical P/E Data (2015–2027)
Quarterly P/E ratios calculated from closing price and TTM EPS
| Quarter | Period End | Price | TTM EPS | P/E Ratio | vs Avg |
|---|---|---|---|---|---|
| FY2027 Q1 | - | $95.98 | $29.44 | 3.3x | -33% |
| FY2026 Q4 | - | $125.46 | $43.76 | 2.9x | -41% |
| FY2026 Q3 | Dec 31 2025 | $146.58 | $38.56 | 3.8x | -22% |
| FY2026 Q2 | - | $178.73 | $52.32 | 3.4x | -30% |
| FY2026 Q1 | Jun 30 2025 | $113.41 | $61.76 | 1.8x | -62% |
| FY2025 Q4 | Mar 31 2025 | $132.23 | $53.68 | 2.5x | -50% |
| FY2025 Q3 | - | $84.79 | $49.76 | 1.7x | -65% |
| FY2025 Q2 | Sep 30 2024 | $106.12 | $35.04 | 3.0x | -38% |
| FY2025 Q1 | Jun 30 2024 | $72.00 | $28.56 | 2.5x | -49% |
| FY2024 Q4 | Mar 31 2024 | $72.36 | $31.36 | 2.3x | -53% |
| FY2024 Q3 | Dec 31 2023 | $77.51 | $40.24 | 1.9x | -61% |
| FY2024 Q2 | Sep 30 2023 | $86.74 | $54.08 | 1.6x | -67% |
| FY2024 Q1 | Jun 30 2023 | $83.35 | $35.28 | 2.4x | -52% |
| FY2023 Q4 | Mar 31 2023 | $102.18 | $31.04 | 3.3x | -33% |
| FY2023 Q3 | Dec 31 2022 | $88.09 | $13.92 | 6.3x | +29% |
| FY2023 Q2 | Sep 30 2022 | $79.99 | $3.12 | 25.6x | +424% |
| FY2023 Q1 | - | $113.68 | $12.64 | 9.0x | +84% |
| FY2022 Q4 | - | $108.80 | $23.84 | 4.6x | -7% |
| FY2022 Q3 | Dec 31 2021 | $118.79 | $28.88 | 4.1x | -16% |
| FY2021 Q4 | Mar 31 2021 | $226.73 | $54.72 | 4.1x | -15% |
| FY2021 Q3 | - | $232.73 | $65.92 | 3.5x | -28% |
| FY2021 Q2 | Sep 30 2020 | $293.98 | $380.40 | 0.8x | -84% |
| FY2021 Q1 | - | $215.70 | $129.12 | 1.7x | -66% |
| FY2020 Q4 | - | $194.48 | $62.72 | 3.1x | -37% |
| FY2020 Q1 | Jun 30 2019 | $169.45 | $71.44 | 2.4x | -52% |
| FY2019 Q4 | Mar 31 2019 | $182.45 | $33.52 | 5.4x | +11% |
| FY2019 Q3 | Dec 31 2018 | $137.07 | $211.92 | 0.6x | -87% |
| FY2019 Q2 | Sep 30 2018 | $164.76 | $184.24 | 0.9x | -82% |
| FY2019 Q1 | Jun 30 2018 | $185.53 | $5.92 | 31.3x | +540% |
| FY2018 Q4 | Mar 31 2018 | $183.54 | $24.56 | 7.5x | +53% |
| FY2018 Q3 | Dec 31 2017 | $172.43 | $34.56 | 5.0x | +2% |
| FY2018 Q1 | Jun 30 2017 | $140.90 | $61.84 | 2.3x | -53% |
| FY2017 Q4 | Mar 31 2017 | $107.83 | $19.60 | 5.5x | +12% |
| FY2017 Q2 | Sep 30 2016 | $105.79 | $33.68 | 3.1x | -36% |
| FY2017 Q1 | - | $79.53 | $18.80 | 4.2x | -14% |
| FY2016 Q4 | - | $79.03 | $27.76 | 2.8x | -42% |
| FY2016 Q3 | - | $81.27 | $26.80 | 3.0x | -38% |
| FY2016 Q2 | Sep 30 2015 | $58.97 | $24.24 | 2.4x | -50% |
| FY2016 Q1 | - | $82.27 | $16.64 | 4.9x | +1% |
| FY2015 Q4 | - | $83.24 | $9.92 | 8.4x | +71% |
| FY2015 Q3 | Dec 31 2014 | $103.94 | $11.20 | 9.3x | +90% |
| FY2015 Q2 | - | $88.85 | $12.40 | 7.2x | +46% |
Average P/E for displayed period: 4.9x
BABA Chart Terminal
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BABA Stock Analysis
Bull/bear thesis, analyst target revisions, and earnings execution.
Intrinsic Valuation
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Historical Returns
11+ years return with dividends reinvested.
Peer Comparison
Compare growth, multiples, and margins vs sector.
BABA — Frequently Asked Questions
Quick answers to the most common questions about buying BABA stock.
What is BABA's P/E ratio?
Alibaba Group Holding Limited (BABA) trailing twelve-month P/E ratio is 17.7x, based on TTM diluted EPS of $30.44. The 5-year average P/E is 4.5x and the historical range spans 1.6x to 25.6x.
Is BABA stock overvalued or undervalued?
BABA trades at 17.7x P/E, above its 5-year average of 4.5x. The 95th percentile ranking within the 1.6x–25.6x historical range indicates a premium to historical valuation.
Is BABA stock expensive?
Yes, BABA is expensive relative to its own history. The current P/E of 17.7x is above the 5-year average of 4.5x. The stock sits at the 95th percentile of its 5-year valuation range.
What is BABA's historical P/E range?
Over the past 5 years, BABA's P/E ratio has ranged from 1.6x to 25.6x, with a median of 3.3x and an average of 4.5x. The current P/E of 17.7x places the stock at the 95th percentile of this range. Full historical data spans 2015–2027.
How does BABA's P/E compare to the S&P 500?
BABA trades at 17.7x P/E versus the S&P 500 median of 25.5x. The 31% discount to the market suggests lower growth expectations or perceived higher risk.
How does BABA's valuation compare to Consumer Cyclical peers?
Alibaba Group Holding Limited P/E of 17.7x compares to the Consumer Cyclical sector median of 19.3x. The discount suggests lower growth expectations, weaker margins, or higher perceived risk relative to peers. See the peer comparison table on this page for ticker-by-ticker P/E and PEG.
What is BABA's PEG ratio?
BABA PEG ratio is N/A, based on a P/E of 17.7x and EPS growth of -17.9%. PEG normalises P/E by growth and helps compare stocks with different earnings trajectories.
What is BABA's earnings yield?
BABA earnings yield is 5.65%, the inverse of its 17.7x P/E ratio. Earnings yield represents the percentage of each dollar invested that the company earns. It can be compared directly to bond yields to assess relative attractiveness of stocks versus fixed income.