Already valued at $200bn in the Private Market, Ant’s upcoming IPO puts it’s above wall street titans like Citigroup, Goldman Sachs, and Morgan Stanley. Headwinds are aplenty, with a peaking domestic market and the Trade war potentially capping international revenues in the Medium-Term.

However, the key lies in strength of the Alibaba ecosystem, and imminent Macro Growth in China. It’s difficult to dissect earnings multiples for a company so unique — but a simple analysis analysis across constituent comparables and market benchmarks reveals that the valuation is not overly exaggerated. It’s also worth noting that Net Profit margins have been north of 20% (35% for H1'20) hinting that this is a relatively mature business model.

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