In FY 2025, Amazon reported revenue of $716.9 billion, up 12.4%, and net income of $77.7 billion, with AWS sales up 20%, while free cash flow fell to $11.2 billion from $38.2 billion amid heavy AI infrastructure spending. Alibaba's FY 2026 revenue was $148.4 billion, up 2.7% (about 11% excluding businesses sold during the year), net income was $14.8 billion, down about 19%, and free cash flow was negative $6.8 billion. On valuation, Alibaba trades at 14.8 times forward earnings and 1.6 times sales, versus 18.7 times and 3.3 times for Amazon. The article outlines Alibaba's risks from competition, regulation and geopolitical tensions, and Amazon's from competition, antitrust scrutiny and data privacy. The author argues Amazon's higher valuation appears justified by its stronger financial performance.
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AmazonAlibabavaluatione-commerceAI investment
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Related tickers and likely impact
AMZN
• NeutralAmazon
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Broadline Retail |
| Market cap | $2.6T |
| Close on 11/02/2026 | 245.63 |
| Change that session | +2.20% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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