Which Is a Better Investment, Alibaba Group Holding Ltd - ADR or eBay Inc Stock?

By Jenna Brashear
September 14, 2026
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Sifting through countless of stocks in the Broadline Retail industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in eBay Inc. or Alibaba Group Holding Limited because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how eBay Inc. and Alibaba Group Holding Limited compare based on key financial metrics to determine which better meets your investment needs.

About eBay Inc. and Alibaba Group Holding Limited

eBay Inc., together with its subsidiaries, operates marketplace platforms that connect buyers and sellers in the United States, the United Kingdom, China, Germany, and internationally. Its marketplace platform includes its online marketplace at ebay.com, off-platform businesses, and the eBay suite of mobile apps. The company’s platforms enable users to list, sell, buy, and pay various products. The company was founded in 1995 and is headquartered in San Jose, California.

Alibaba Group Holding Limited, through its subsidiaries, provides technology infrastructure and marketing reach to help merchants, brands, retailers, and other businesses in the People's Republic of China and internationally. It operates through the Alibaba China E-Commerce Group, Alibaba International Digital Commerce Group, Cloud Intelligence Group, and All Others segments. The Alibaba China E-commerce Group segment operates Taobao and Tmall, which are digital retail platforms; Taobao Instant Commerce, a local services and on-demand delivery platform; 1688.com, a domestic wholesale marketplace; and Xianyu, a consumer-to-consumer community and marketplace for idle goods. Its Alibaba International Digital Commerce Group segment includes AliExpress, a global e-commerce platform; Trendyol, an e-commerce platform in Turkey; Lazada, an e-commerce platform in Southeast Asia; Daraz, an e-commerce platform in South Asia, primarily in Pakistan and Bangladesh; and Alibaba.com, an integrated international online wholesale marketplace. The Cloud Intelligence Group segment offers a suite of cloud services based on infrastructure-as-a-service, platform-as-a-service, and model-as-a-service. Its All Others segment comprises Amap, a provider of mobile digital maps, navigation, and real-time traffic information in China; Cainiao, which provides logistics solutions; Youku, an online long-form video platform in China; Freshippo, a retail platform for groceries and fresh goods; and Alibaba Health, a pharmaceutical and healthcare services platform. Alibaba Group Holding Limited was incorporated in 1999 and is based in Hangzhou, China.

Latest Broadline Retail and eBay Inc., Alibaba Group Holding Limited Stock News

As of September 11, 2026, eBay Inc. had a $47.9 billion market capitalization, compared to the Broadline Retail median of $5.8 million. eBay Inc.’s stock is NA in 2026, NA in the previous five trading days and up 18.03% in the past year.

Currently, eBay Inc.’s price-earnings ratio is 22.6. eBay Inc.’s trailing 12-month revenue is $12.0 billion with a 18.6% net profit margin. Year-over-year quarterly sales growth most recently was 14.8%. Analysts expect adjusted earnings to reach $6.127 per share for the current fiscal year. eBay Inc. currently has a 1.2% dividend yield.

Currently, Alibaba Group Holding Limited’s price-earnings ratio is 24.9. Alibaba Group Holding Limited’s trailing 12-month revenue is $153.8 billion with a 7.0% net profit margin. Year-over-year quarterly sales growth most recently was 14.5%. Analysts expect adjusted earnings to reach $6.614 per share for the current fiscal year. Alibaba Group Holding Limited currently has a 1.0% dividend yield.

How We Compare eBay Inc. and Alibaba Group Holding Limited Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at eBay Inc. and Alibaba Group Holding Limited’s stock grades to see how they measure up against one another.

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eBay Inc. and Alibaba Group Holding Limited’s Quality Grades

Company Ticker Quality
eBay Inc. EBAY A
Alibaba Group Holding Limited BABA D

Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.

The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.

Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.

eBay Inc. has a Quality Score of 99, which is Very Strong. Alibaba Group Holding Limited has a Quality Score of 36, which is Weak.

The Quality Grade Winner: eBay Inc.

As you can clearly see from the Quality Grade breakdown above, eBay Inc. has a better overall quality grade than Alibaba Group Holding Limited. For investors who are looking for companies with higher quality than others in the same industry, eBay Inc. could be a good stock to add to their portfolios. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

eBay Inc. and Alibaba Group Holding Limited’s Momentum Grades

Company Ticker Momentum
eBay Inc. EBAY C
Alibaba Group Holding Limited BABA D

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

eBay Inc. has a Momentum Score of 55, which is Average. Alibaba Group Holding Limited has a Momentum Score of 24, which is Weak.

The Momentum Stock Winner: No Clear Winner

Neither eBay Inc. or Alibaba Group Holding Limited has a strong enough Momentum Grade to be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if eBay Inc. or Alibaba Group Holding Limited is the better investment when it comes to momentum.

eBay Inc. and Alibaba Group Holding Limited’s Estimate Revisions Grades

Company Ticker Earnings Estimate
eBay Inc. EBAY B
Alibaba Group Holding Limited BABA D

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

eBay Inc. has a Earnings Estimate Score of 66, which is Positive. Alibaba Group Holding Limited has a Earnings Estimate Score of 33, which is Negative.

The Earnings Estimate Revisions Grade Winner: eBay Inc.

As you can clearly see from the Earnings Estimate Revisions Grade breakdown above, eBay Inc. has a better Earnings Estimate Revisions Grade than Alibaba Group Holding Limited. For those who are specifically looking for companies with better short-term prospects when compared to other companies in the same industry, eBay Inc. could be a good stock to invest in. However, it’s important to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Don’t Forget Your Free Special Report on How A+ Grades Can Help You Make Investment Decisions

Other eBay Inc. and Alibaba Group Holding Limited Grades

In addition to Estimate Revisions, Momentum and Quality, A+ Investor also provides grades for Value and Growth.

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Growth investing builds on the idea that stocks of companies exhibiting strong, consistent and prolonged growth outperform those of slower-growth companies. AAII measures growth through consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations.

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether eBay Inc. and Alibaba Group Holding Limited pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, eBay Inc. or Alibaba Group Holding Limited Stock?

Overall, eBay Inc. stock has a Momentum Score of 55, Estimate Revisions Score of 66 and Quality Score of 99.

Alibaba Group Holding Limited stock has a Momentum Score of 24, Estimate Revisions Score of 33 and Quality Score of 36.

Comparing eBay Inc. and Alibaba Group Holding Limited’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Learn More About A+ Investor

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.



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