AMZN vs. PM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AMZN and PM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AMZN’s market capitalization of 2,371.81 billion USD is substantially larger than PM’s 278.43 billion USD, indicating a significant difference in their market valuations.
AMZN’s beta of 1.33 points to significantly higher volatility compared to PM (beta: 0.54), suggesting AMZN has greater potential for both gains and losses relative to market movements.
| Symbol | AMZN | PM |
|---|---|---|
| Company Name | Amazon.com, Inc. | Philip Morris International Inc. |
| Country | US | US |
| Sector | Consumer Cyclical | Consumer Defensive |
| Industry | Specialty Retail | Tobacco |
| CEO | Andrew R. Jassy | Jacek Olczak |
| Price | 223.41 USD | 178.88 USD |
| Market Cap | 2,371.81 billion USD | 278.43 billion USD |
| Beta | 1.33 | 0.54 |
| Exchange | NASDAQ | NYSE |
| IPO Date | May 15, 1997 | March 17, 2008 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AMZN and PM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AMZN
24.26%
Specialty Retail Industry
- Max
- 70.52%
- Q3
- 29.03%
- Median
- 10.90%
- Q1
- -7.86%
- Min
- -57.43%
AMZN’s Return on Equity of 24.26% is on par with the norm for the Specialty Retail industry, indicating its profitability relative to shareholder equity is typical for the sector.
PM
-72.22%
Tobacco Industry
- Max
- 22.42%
- Q3
- 6.25%
- Median
- 4.04%
- Q1
- -111.21%
- Min
- -150.20%
PM has a negative Return on Equity of -72.22%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
Return on Invested Capital
AMZN
13.10%
Specialty Retail Industry
- Max
- 29.46%
- Q3
- 13.75%
- Median
- 8.05%
- Q1
- 0.80%
- Min
- -17.95%
AMZN’s Return on Invested Capital of 13.10% is in line with the norm for the Specialty Retail industry, reflecting a standard level of efficiency in generating profits from its capital base.
PM
22.44%
Tobacco Industry
- Max
- 30.25%
- Q3
- 17.79%
- Median
- 6.37%
- Q1
- 1.66%
- Min
- 0.12%
In the upper quartile for the Tobacco industry, PM’s Return on Invested Capital of 22.44% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
AMZN
10.14%
Specialty Retail Industry
- Max
- 19.78%
- Q3
- 8.49%
- Median
- 3.43%
- Q1
- -0.69%
- Min
- -9.88%
A Net Profit Margin of 10.14% places AMZN in the upper quartile for the Specialty Retail industry, signifying strong profitability and more effective cost management than most of its peers.
PM
19.83%
Tobacco Industry
- Max
- 23.93%
- Q3
- 21.88%
- Median
- 11.78%
- Q1
- 6.14%
- Min
- 3.22%
PM’s Net Profit Margin of 19.83% is aligned with the median group of its peers in the Tobacco industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
AMZN
11.02%
Specialty Retail Industry
- Max
- 24.47%
- Q3
- 11.10%
- Median
- 5.85%
- Q1
- 0.66%
- Min
- -12.62%
AMZN’s Operating Profit Margin of 11.02% is around the midpoint for the Specialty Retail industry, indicating that its efficiency in managing core business operations is typical for the sector.
PM
36.40%
Tobacco Industry
- Max
- 51.15%
- Q3
- 27.45%
- Median
- 14.55%
- Q1
- 4.39%
- Min
- 0.82%
An Operating Profit Margin of 36.40% places PM in the upper quartile for the Tobacco industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | AMZN | PM |
|---|---|---|
| Return on Equity (TTM) | 24.26% | -72.22% |
| Return on Assets (TTM) | 10.25% | 11.68% |
| Return on Invested Capital (TTM) | 13.10% | 22.44% |
| Net Profit Margin (TTM) | 10.14% | 19.83% |
| Operating Profit Margin (TTM) | 11.02% | 36.40% |
| Gross Profit Margin (TTM) | 49.16% | 65.11% |
Financial Strength
Current Ratio
AMZN
1.05
Specialty Retail Industry
- Max
- 3.24
- Q3
- 1.99
- Median
- 1.42
- Q1
- 1.02
- Min
- 0.54
AMZN’s Current Ratio of 1.05 aligns with the median group of the Specialty Retail industry, indicating that its short-term liquidity is in line with its sector peers.
PM
0.79
Tobacco Industry
- Max
- 4.42
- Q3
- 3.65
- Median
- 2.25
- Q1
- 0.78
- Min
- 0.57
PM’s Current Ratio of 0.79 aligns with the median group of the Tobacco industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
AMZN
0.44
Specialty Retail Industry
- Max
- 2.72
- Q3
- 1.42
- Median
- 0.87
- Q1
- 0.35
- Min
- 0.01
AMZN’s Debt-to-Equity Ratio of 0.44 is typical for the Specialty Retail industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
PM
-4.55
Tobacco Industry
- Max
- 1.48
- Q3
- 0.76
- Median
- 0.74
- Q1
- 0.03
- Min
- 0.01
PM has a Debt-to-Equity Ratio of -4.55, which indicates negative shareholder equity where liabilities exceed assets. This is a critical sign of financial distress.
Interest Coverage Ratio
AMZN
31.13
Specialty Retail Industry
- Max
- 37.34
- Q3
- 17.19
- Median
- 4.28
- Q1
- 0.11
- Min
- -23.60
AMZN’s Interest Coverage Ratio of 31.13 is in the upper quartile for the Specialty Retail industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
PM
9.53
Tobacco Industry
- Max
- 9.53
- Q3
- 8.30
- Median
- 4.34
- Q1
- 2.04
- Min
- -2.25
PM’s Interest Coverage Ratio of 9.53 is in the upper quartile for the Tobacco industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | AMZN | PM |
|---|---|---|
| Current Ratio (TTM) | 1.05 | 0.79 |
| Quick Ratio (TTM) | 0.84 | 0.79 |
| Debt-to-Equity Ratio (TTM) | 0.44 | -4.55 |
| Debt-to-Asset Ratio (TTM) | 0.21 | 0.76 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.50 | 2.82 |
| Interest Coverage Ratio (TTM) | 31.13 | 9.53 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AMZN and PM. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AMZN
0.00%
Specialty Retail Industry
- Max
- 5.54%
- Q3
- 1.52%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
AMZN currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
PM
3.02%
Tobacco Industry
- Max
- 6.94%
- Q3
- 6.23%
- Median
- 2.98%
- Q1
- 0.37%
- Min
- 0.00%
PM’s Dividend Yield of 3.02% is consistent with its peers in the Tobacco industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
AMZN
0.00%
Specialty Retail Industry
- Max
- 177.64%
- Q3
- 9.49%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
AMZN has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
PM
108.91%
Tobacco Industry
- Max
- 171.09%
- Q3
- 98.77%
- Median
- 67.00%
- Q1
- 13.01%
- Min
- 0.00%
PM’s Dividend Payout Ratio of 108.91% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.
Dividend at a Glance
| Symbol | AMZN | PM |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 3.02% |
| Dividend Payout Ratio (TTM) | 0.00% | 108.91% |
Valuation
Price-to-Earnings Ratio
AMZN
35.92
Specialty Retail Industry
- Max
- 81.45
- Q3
- 42.51
- Median
- 25.40
- Q1
- 12.72
- Min
- 1.88
AMZN’s P/E Ratio of 35.92 is within the middle range for the Specialty Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
PM
36.58
Tobacco Industry
- Max
- 37.02
- Q3
- 31.70
- Median
- 27.58
- Q1
- 17.76
- Min
- 9.72
A P/E Ratio of 36.58 places PM in the upper quartile for the Tobacco industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Forward P/E to Growth Ratio
AMZN
1.72
Specialty Retail Industry
- Max
- 5.90
- Q3
- 2.79
- Median
- 1.76
- Q1
- 0.69
- Min
- 0.00
AMZN’s Forward PEG Ratio of 1.72 is within the middle range of its peers in the Specialty Retail industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
PM
4.12
Tobacco Industry
- Max
- 6.56
- Q3
- 4.77
- Median
- 3.75
- Q1
- 3.29
- Min
- 3.17
The Forward PEG Ratio is often not a primary valuation metric in the Tobacco industry.
Price-to-Sales Ratio
AMZN
3.65
Specialty Retail Industry
- Max
- 5.26
- Q3
- 2.60
- Median
- 1.29
- Q1
- 0.41
- Min
- 0.06
AMZN’s P/S Ratio of 3.65 is in the upper echelon for the Specialty Retail industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
PM
7.26
Tobacco Industry
- Max
- 7.35
- Q3
- 7.29
- Median
- 4.89
- Q1
- 2.91
- Min
- 0.49
PM’s P/S Ratio of 7.26 aligns with the market consensus for the Tobacco industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
AMZN
7.74
Specialty Retail Industry
- Max
- 12.73
- Q3
- 6.96
- Median
- 3.28
- Q1
- 1.42
- Min
- 0.24
AMZN’s P/B Ratio of 7.74 is in the upper tier for the Specialty Retail industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
PM
-25.50
Tobacco Industry
- Max
- 1.61
- Q3
- 1.61
- Median
- 1.52
- Q1
- 1.20
- Min
- 1.00
The P/B Ratio is often not a primary valuation metric for the Tobacco industry.
Valuation at a Glance
| Symbol | AMZN | PM |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 35.92 | 36.58 |
| Forward PEG Ratio (TTM) | 1.72 | 4.12 |
| Price-to-Sales Ratio (P/S, TTM) | 3.65 | 7.26 |
| Price-to-Book Ratio (P/B, TTM) | 7.74 | -25.50 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 113.97 | 27.31 |
| EV-to-EBITDA (TTM) | 18.07 | 20.18 |
| EV-to-Sales (TTM) | 3.75 | 8.44 |