Seek Returns logo

BTI vs. HRL: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at BTI and HRL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

BTI trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, HRL is a standard domestic listing.

SymbolBTIHRL
Company NameBritish American Tobacco p.l.c.Hormel Foods Corporation
CountryUnited KingdomUnited States
GICS SectorConsumer StaplesConsumer Staples
GICS IndustryTobaccoFood Products
Market Capitalization125.20 billion USD15.96 billion USD
ExchangeNYSENYSE
Listing DateApril 14, 1980March 17, 1980
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of BTI and HRL 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.

BTI vs. HRL: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolBTIHRL
5-Day Price Return-0.07%0.38%
13-Week Price Return27.54%-3.91%
26-Week Price Return39.70%-2.12%
52-Week Price Return50.75%-10.32%
Month-to-Date Return4.78%3.31%
Year-to-Date Return46.98%-7.49%
10-Day Avg. Volume3.20M3.77M
3-Month Avg. Volume3.71M3.15M
3-Month Volatility20.41%19.30%
Beta0.340.31

Profitability

Return on Equity (TTM)

BTI

6.40%

Tobacco Industry

Max
49.48%
Q3
49.48%
Median
7.92%
Q1
5.28%
Min
4.04%

BTI’s Return on Equity of 6.40% is on par with the norm for the Tobacco industry, indicating its profitability relative to shareholder equity is typical for the sector.

HRL

9.37%

Food Products Industry

Max
27.15%
Q3
15.66%
Median
10.47%
Q1
7.82%
Min
-2.46%

HRL’s Return on Equity of 9.37% is on par with the norm for the Food Products industry, indicating its profitability relative to shareholder equity is typical for the sector.

BTI vs. HRL: A comparison of their Return on Equity (TTM) against their respective Tobacco and Food Products industry benchmarks.

Net Profit Margin (TTM)

BTI

12.06%

Tobacco Industry

Max
21.36%
Q3
18.49%
Median
11.05%
Q1
6.80%
Min
5.37%

BTI’s Net Profit Margin of 12.06% 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.

HRL

6.27%

Food Products Industry

Max
18.44%
Q3
9.92%
Median
6.38%
Q1
4.13%
Min
-0.92%

HRL’s Net Profit Margin of 6.27% is aligned with the median group of its peers in the Food Products industry. This indicates its ability to convert revenue into profit is typical for the sector.

BTI vs. HRL: A comparison of their Net Profit Margin (TTM) against their respective Tobacco and Food Products industry benchmarks.

Operating Profit Margin (TTM)

BTI

13.86%

Tobacco Industry

Max
14.35%
Q3
12.68%
Median
11.00%
Q1
10.58%
Min
10.58%

An Operating Profit Margin of 13.86% places BTI 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.

HRL

8.45%

Food Products Industry

Max
24.83%
Q3
14.27%
Median
9.73%
Q1
6.26%
Min
-0.10%

HRL’s Operating Profit Margin of 8.45% is around the midpoint for the Food Products industry, indicating that its efficiency in managing core business operations is typical for the sector.

BTI vs. HRL: A comparison of their Operating Profit Margin (TTM) against their respective Tobacco and Food Products industry benchmarks.

Profitability at a Glance

SymbolBTIHRL
Return on Equity (TTM)6.40%9.37%
Return on Assets (TTM)2.70%5.60%
Net Profit Margin (TTM)12.06%6.27%
Operating Profit Margin (TTM)13.86%8.45%
Gross Profit Margin (TTM)83.38%16.54%

Financial Strength

Current Ratio (MRQ)

BTI

0.87

Tobacco Industry

Max
3.20
Q3
1.83
Median
0.83
Q1
0.72
Min
0.57

BTI’s Current Ratio of 0.87 aligns with the median group of the Tobacco industry, indicating that its short-term liquidity is in line with its sector peers.

HRL

2.47

Food Products Industry

Max
3.80
Q3
2.40
Median
1.61
Q1
1.28
Min
0.55

HRL’s Current Ratio of 2.47 is in the upper quartile for the Food Products industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

BTI vs. HRL: A comparison of their Current Ratio (MRQ) against their respective Tobacco and Food Products industry benchmarks.

Debt-to-Equity Ratio (MRQ)

BTI

0.75

Tobacco Industry

Max
2.19
Q3
2.19
Median
0.74
Q1
0.26
Min
0.01

BTI’s Debt-to-Equity Ratio of 0.75 is typical for the Tobacco industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

HRL

0.36

Food Products Industry

Max
1.87
Q3
0.90
Median
0.48
Q1
0.24
Min
0.00

HRL’s Debt-to-Equity Ratio of 0.36 is typical for the Food Products industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

BTI vs. HRL: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Tobacco and Food Products industry benchmarks.

Interest Coverage Ratio (TTM)

BTI

-11.45

Tobacco Industry

Max
36.48
Q3
28.54
Median
7.02
Q1
6.32
Min
-11.45

BTI has a negative Interest Coverage Ratio of -11.45. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

HRL

65.06

Food Products Industry

Max
70.39
Q3
32.08
Median
9.51
Q1
4.55
Min
-1.69

HRL’s Interest Coverage Ratio of 65.06 is in the upper quartile for the Food Products industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

BTI vs. HRL: A comparison of their Interest Coverage Ratio (TTM) against their respective Tobacco and Food Products industry benchmarks.

Financial Strength at a Glance

SymbolBTIHRL
Current Ratio (MRQ)0.872.47
Quick Ratio (MRQ)0.551.12
Debt-to-Equity Ratio (MRQ)0.750.36
Interest Coverage Ratio (TTM)-11.4565.06

Growth

Revenue Growth

BTI vs. HRL: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

BTI vs. HRL: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

BTI

5.64%

Tobacco Industry

Max
6.71%
Q3
6.06%
Median
5.48%
Q1
3.91%
Min
3.27%

BTI’s Dividend Yield of 5.64% is consistent with its peers in the Tobacco industry, providing a dividend return that is standard for its sector.

HRL

3.92%

Food Products Industry

Max
7.43%
Q3
4.12%
Median
2.67%
Q1
1.57%
Min
0.00%

HRL’s Dividend Yield of 3.92% is consistent with its peers in the Food Products industry, providing a dividend return that is standard for its sector.

BTI vs. HRL: A comparison of their Dividend Yield (TTM) against their respective Tobacco and Food Products industry benchmarks.

Dividend Payout Ratio (TTM)

BTI

57.82%

Tobacco Industry

Max
77.64%
Q3
76.55%
Median
50.14%
Q1
47.08%
Min
42.39%

BTI’s Dividend Payout Ratio of 57.82% is within the typical range for the Tobacco industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

HRL

83.50%

Food Products Industry

Max
202.50%
Q3
109.53%
Median
67.28%
Q1
39.33%
Min
0.00%

HRL’s Dividend Payout Ratio of 83.50% is within the typical range for the Food Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

BTI vs. HRL: A comparison of their Dividend Payout Ratio (TTM) against their respective Tobacco and Food Products industry benchmarks.

Dividend at a Glance

SymbolBTIHRL
Dividend Yield (TTM)5.64%3.92%
Dividend Payout Ratio (TTM)57.82%83.50%

Valuation

Price-to-Earnings Ratio (TTM)

BTI

29.96

Tobacco Industry

Max
42.16
Q3
36.45
Median
20.93
Q1
10.52
Min
9.15

BTI’s P/E Ratio of 29.96 is within the middle range for the Tobacco industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

HRL

21.31

Food Products Industry

Max
35.81
Q3
22.88
Median
17.13
Q1
13.91
Min
2.77

HRL’s P/E Ratio of 21.31 is within the middle range for the Food Products industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

BTI vs. HRL: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Tobacco and Food Products industry benchmarks.

Price-to-Sales Ratio (TTM)

BTI

3.61

Tobacco Industry

Max
10.48
Q3
5.39
Median
3.32
Q1
1.54
Min
0.59

BTI’s P/S Ratio of 3.61 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.

HRL

1.34

Food Products Industry

Max
3.63
Q3
1.86
Median
1.14
Q1
0.68
Min
0.12

HRL’s P/S Ratio of 1.34 aligns with the market consensus for the Food Products industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

BTI vs. HRL: A comparison of their Price-to-Sales Ratio (TTM) against their respective Tobacco and Food Products industry benchmarks.

Price-to-Book Ratio (MRQ)

BTI

1.62

Tobacco Industry

Max
4.76
Q3
4.76
Median
2.18
Q1
1.70
Min
1.06

BTI’s P/B Ratio of 1.62 is in the lower quartile for the Tobacco industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

HRL

2.02

Food Products Industry

Max
5.01
Q3
2.76
Median
1.98
Q1
1.26
Min
0.52

HRL’s P/B Ratio of 2.02 is within the conventional range for the Food Products industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

BTI vs. HRL: A comparison of their Price-to-Book Ratio (MRQ) against their respective Tobacco and Food Products industry benchmarks.

Valuation at a Glance

SymbolBTIHRL
Price-to-Earnings Ratio (TTM)29.9621.31
Price-to-Sales Ratio (TTM)3.611.34
Price-to-Book Ratio (MRQ)1.622.02
Price-to-Free Cash Flow Ratio (TTM)10.6817.89