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

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Here’s a clear look at BTI and PM, 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, PM is a standard domestic listing.

SymbolBTIPM
Company NameBritish American Tobacco p.l.c.Philip Morris International Inc.
CountryUnited KingdomUnited States
GICS SectorConsumer StaplesConsumer Staples
GICS IndustryTobaccoTobacco
Market Capitalization125.20 billion USD255.58 billion USD
ExchangeNYSENYSE
Listing DateApril 14, 1980March 17, 2008
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of BTI 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.

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

Historical Performance at a Glance

SymbolBTIPM
5-Day Price Return-0.07%-5.90%
13-Week Price Return27.54%-8.39%
26-Week Price Return39.70%6.34%
52-Week Price Return50.75%35.41%
Month-to-Date Return4.78%0.09%
Year-to-Date Return46.98%36.43%
10-Day Avg. Volume3.20M4.53M
3-Month Avg. Volume3.71M5.70M
3-Month Volatility20.41%25.81%
Beta0.340.50

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.

PM

575.44%

Tobacco Industry

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

PM’s Return on Equity of 575.44% is exceptionally high, placing it well beyond the typical range for the Tobacco industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

BTI vs. PM: A comparison of their Return on Equity (TTM) against the Tobacco industry benchmark.

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.

PM

21.08%

Tobacco Industry

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

A Net Profit Margin of 21.08% places PM in the upper quartile for the Tobacco industry, signifying strong profitability and more effective cost management than most of its peers.

BTI vs. PM: A comparison of their Net Profit Margin (TTM) against the Tobacco industry benchmark.

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.

PM

36.28%

Tobacco Industry

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

PM’s Operating Profit Margin of 36.28% is exceptionally high, placing it well above the typical range for the Tobacco industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

BTI vs. PM: A comparison of their Operating Profit Margin (TTM) against the Tobacco industry benchmark.

Profitability at a Glance

SymbolBTIPM
Return on Equity (TTM)6.40%575.44%
Return on Assets (TTM)2.70%12.56%
Net Profit Margin (TTM)12.06%21.08%
Operating Profit Margin (TTM)13.86%36.28%
Gross Profit Margin (TTM)83.38%66.46%

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.

PM

0.83

Tobacco Industry

Max
3.20
Q3
1.83
Median
0.83
Q1
0.72
Min
0.57

PM’s Current Ratio of 0.83 aligns with the median group of the Tobacco industry, indicating that its short-term liquidity is in line with its sector peers.

BTI vs. PM: A comparison of their Current Ratio (MRQ) against the Tobacco industry benchmark.

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.

PM

186.08

Tobacco Industry

Max
2.19
Q3
2.19
Median
0.74
Q1
0.26
Min
0.01

With a Debt-to-Equity Ratio of 186.08, PM operates with exceptionally high leverage compared to the Tobacco industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

BTI vs. PM: A comparison of their Debt-to-Equity Ratio (MRQ) against the Tobacco industry benchmark.

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.

PM

11.67

Tobacco Industry

Max
36.48
Q3
28.54
Median
7.02
Q1
6.32
Min
-11.45

PM’s Interest Coverage Ratio of 11.67 is positioned comfortably within the norm for the Tobacco industry, indicating a standard and healthy capacity to cover its interest payments.

BTI vs. PM: A comparison of their Interest Coverage Ratio (TTM) against the Tobacco industry benchmark.

Financial Strength at a Glance

SymbolBTIPM
Current Ratio (MRQ)0.870.83
Quick Ratio (MRQ)0.550.83
Debt-to-Equity Ratio (MRQ)0.75186.08
Interest Coverage Ratio (TTM)-11.4511.67

Growth

Revenue Growth

BTI vs. PM: 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. PM: 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.

PM

3.10%

Tobacco Industry

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

PM’s Dividend Yield of 3.10% is below the typical range for the Tobacco industry. This indicates that shareholder returns are likely driven more by potential capital appreciation than by dividend income.

BTI vs. PM: A comparison of their Dividend Yield (TTM) against the Tobacco industry benchmark.

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.

PM

70.92%

Tobacco Industry

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

PM’s Dividend Payout Ratio of 70.92% is within the typical range for the Tobacco industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

BTI vs. PM: A comparison of their Dividend Payout Ratio (TTM) against the Tobacco industry benchmark.

Dividend at a Glance

SymbolBTIPM
Dividend Yield (TTM)5.64%3.10%
Dividend Payout Ratio (TTM)57.82%70.92%

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.

PM

32.70

Tobacco Industry

Max
42.16
Q3
36.45
Median
20.93
Q1
10.52
Min
9.15

PM’s P/E Ratio of 32.70 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.

BTI vs. PM: A comparison of their Price-to-Earnings Ratio (TTM) against the Tobacco industry benchmark.

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.

PM

6.89

Tobacco Industry

Max
10.48
Q3
5.39
Median
3.32
Q1
1.54
Min
0.59

PM’s P/S Ratio of 6.89 is in the upper echelon for the Tobacco 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.

BTI vs. PM: A comparison of their Price-to-Sales Ratio (TTM) against the Tobacco industry benchmark.

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.

PM

1,368.86

Tobacco Industry

Max
4.76
Q3
4.76
Median
2.18
Q1
1.70
Min
1.06

At 1,368.86, PM’s P/B Ratio is at an extreme premium to the Tobacco industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

BTI vs. PM: A comparison of their Price-to-Book Ratio (MRQ) against the Tobacco industry benchmark.

Valuation at a Glance

SymbolBTIPM
Price-to-Earnings Ratio (TTM)29.9632.70
Price-to-Sales Ratio (TTM)3.616.89
Price-to-Book Ratio (MRQ)1.621,368.86
Price-to-Free Cash Flow Ratio (TTM)10.6827.63