Alibaba is aiming for a "more conservative valuation" for its IPO than the one Facebook...

|By:, SA News Editor

Alibaba is aiming for a "more conservative valuation" for its IPO than the one Facebook obtained, so as to avoid a similar flop, Bloomberg reports. That might mean a $100B IPO valuation is out of the picture, but even a $70B valuation would result in the e-commerce giant trading at 32x Morgan Stanley's 2013 earnings estimate of $2.18B. Nonetheless, given Alibaba's rapid growth (MS sees rev. growth of 59% in 2013 and 44% in 2014), that's something investors could be willing to stomach. YHOO -0.3%. (Reuters analysis)