BTI vs. PM: British American Tobacco vs. Philip Morris Stock Comparison
How do British American Tobacco (BTI) and Philip Morris (PM) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
British American Tobacco (BTI) and Philip Morris (PM) are both classified in the Tobacco sub-industry within the broader Tobacco industry, placing them in the closest GICS peer bucket.
Philip Morris (PM) trades as ordinary local shares, while British American Tobacco (BTI) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.
| Profile Item | BTI | PM |
|---|---|---|
| Name | British American Tobacco p.l.c. ADR | Philip Morris International Inc. |
| Country/Region | United Kingdom | United States |
| GICS Sector | Consumer Staples | Consumer Staples |
| GICS Industry Group | Food, Beverage & Tobacco | Food, Beverage & Tobacco |
| GICS Industry | Tobacco | Tobacco |
| GICS Sub-Industry | Tobacco | Tobacco |
| Market Capitalization | 123.00 billion USD | 296.74 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | April 14, 1980 | March 17, 2008 |
| Security Type | ADR | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | BTI | PM |
|---|---|---|
| Total Return (1Y) | 5.08% | 19.37% |
| Total Return (3Y, Annualized) | 30.21% | 31.21% |
| Total Return (5Y, Annualized) | 17.36% | 18.81% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | BTI | PM |
|---|---|---|
| Volatility (1Y, Annualized) | 25.11% | 27.98% |
| Beta (5Y) | 0.30 | 0.37 |
| Max Drawdown (5Y) | -29.84% | -22.78% |
| Avg. Volume (3M) | 4.21M | 4.97M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | BTI | PM |
|---|---|---|
| Sharpe Ratio (1Y) | 0.04 | 0.55 |
| Sortino Ratio (1Y) | 0.07 | 0.81 |
Profitability
ROE (TTM)
Capital efficiency shows on one side only: British American Tobacco (BTI) earns 13.42% on shareholders’ equity, ranked against its industry; Philip Morris (PM) has no ROE this period.
BTI
Food, Beverage & Tobacco industry group
13.42%
- Max
- 34.02%
- Q3
- 17.32%
- BTI
- 13.42%
- Median
- 12.17%
- Q1
- 3.66%
- Min
- -16.01%
PM
Food, Beverage & Tobacco industry group
--
- Max
- 34.02%
- Q3
- 17.32%
- Median
- 12.17%
- Q1
- 3.66%
- Min
- -16.01%
- PM
- --
Net Margin (TTM)
For every dollar of sales, both British American Tobacco (BTI) at 24.99% and Philip Morris (PM) at 25.56% retain more as net profit than most peers, landing in the top net margin quartile of their industries.
BTI
Food, Beverage & Tobacco industry group
24.99%
- Max
- 25.56%
- BTI
- 24.99%
- Q3
- 11.22%
- Median
- 5.94%
- Q1
- 1.08%
- Min
- -13.81%
PM
Food, Beverage & Tobacco industry group
25.56%
- PM
- 25.56%
- Max
- 25.56%
- Q3
- 11.22%
- Median
- 5.94%
- Q1
- 1.08%
- Min
- -13.81%
Operating Margin (TTM)
Philip Morris (PM) at 40.00% shows unusually strong operating efficiency — above its industry’s operating margin range — and British American Tobacco (BTI) at 34.91% also operates in the top quartile.
BTI
Food, Beverage & Tobacco industry group
34.91%
- Max
- 35.93%
- BTI
- 34.91%
- Q3
- 17.10%
- Median
- 11.30%
- Q1
- 3.99%
- Min
- -11.04%
PM
Food, Beverage & Tobacco industry group
40.00%
- PM
- 40.00%
- Max
- 35.93%
- Q3
- 17.10%
- Median
- 11.30%
- Q1
- 3.99%
- Min
- -11.04%
Profitability Metrics
| Metric | BTI | PM |
|---|---|---|
| ROE (TTM) | 13.42% | -- |
| ROA (TTM) | 5.12% | 14.59% |
| Net Margin (TTM) | 24.99% | 25.56% |
| Operating Margin (TTM) | 34.91% | 40.00% |
| Gross Margin (TTM) | 82.72% | 67.48% |
Growth
Revenue Growth
Philip Morris (PM) at 7.31% is around its peer norm for revenue growth, while British American Tobacco (BTI) at -0.99% drops into the bottom quartile, signaling weaker demand or pricing momentum.
EPS Growth
Both companies show strong earnings momentum, but British American Tobacco (BTI) at 156.69% is the standout with EPS growth above its industry range; Philip Morris (PM) at 60.26% also sits in the top quartile.
Growth Metrics
| Metric | BTI | PM |
|---|---|---|
| Revenue Growth (YoY) | -0.99% | 7.31% |
| Revenue Growth (3Y CAGR) | -2.53% | 8.57% |
| EPS Growth (YoY) | 156.69% | 60.26% |
| EPS Growth (3Y CAGR) | 6.15% | 7.71% |
Financial Strength
Current Ratio (MRQ)
Both British American Tobacco (BTI) at 0.84 and Philip Morris (PM) at 0.98 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
BTI
Food, Beverage & Tobacco industry group
0.84
- Max
- 4.39
- Q3
- 2.48
- Median
- 1.47
- Q1
- 1.00
- BTI
- 0.84
- Min
- 0.43
PM
Food, Beverage & Tobacco industry group
0.98
- Max
- 4.39
- Q3
- 2.48
- Median
- 1.47
- Q1
- 1.00
- PM
- 0.98
- Min
- 0.43
Debt / Equity (MRQ)
Only one side’s leverage can be read here: British American Tobacco (BTI) carries debt-to-equity ratio of 0.72 against its industry range, while Philip Morris (PM) reports no figure this period.
BTI
Food, Beverage & Tobacco industry group
0.72
- Max
- 2.21
- Q3
- 1.13
- BTI
- 0.72
- Median
- 0.71
- Q1
- 0.31
- Min
- 0.00
PM
Food, Beverage & Tobacco industry group
--
- Max
- 2.21
- Q3
- 1.13
- Median
- 0.71
- Q1
- 0.31
- Min
- 0.00
- PM
- --
Financial Strength Metrics
| Metric | BTI | PM |
|---|---|---|
| Current Ratio (MRQ) | 0.84 | 0.98 |
| Debt / Equity (MRQ) | 0.72 | -- |
| Net Debt / EBITDA | 2.90 | 2.39 |
Dividends
Dividend Yield (TTM)
British American Tobacco (BTI) at 4.27% delivers top-quartile income for its industry, while Philip Morris (PM) at 3.11% pays a more typical yield — both are credible income propositions, BTI the richer one.
BTI
Food, Beverage & Tobacco industry group
4.27%
- Max
- 9.10%
- BTI
- 4.27%
- Q3
- 3.96%
- Median
- 2.53%
- Q1
- 0.00%
- Min
- 0.00%
PM
Food, Beverage & Tobacco industry group
3.11%
- Max
- 9.10%
- Q3
- 3.96%
- PM
- 3.11%
- Median
- 2.53%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Philip Morris (PM) at 80.73% pays out a band-typical share of earnings, while British American Tobacco (BTI) at 84.64% distributes more than its industry norm — less retained, thinner cover.
BTI
Food, Beverage & Tobacco industry group
84.64%
- Max
- 169.01%
- BTI
- 84.64%
- Q3
- 81.71%
- Median
- 46.29%
- Q1
- 0.00%
- Min
- 0.00%
PM
Food, Beverage & Tobacco industry group
80.73%
- Max
- 169.01%
- Q3
- 81.71%
- PM
- 80.73%
- Median
- 46.29%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | BTI | PM |
|---|---|---|
| Dividend Yield (TTM) | 4.27% | 3.11% |
| Dividend Payout Ratio (TTM) | 84.64% | 80.73% |
Valuation
P/E Ratio (TTM)
Both British American Tobacco (BTI) at 14.52 and Philip Morris (PM) at 26.12 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
BTI
Food, Beverage & Tobacco industry group
14.52
- Max
- 43.35
- Q3
- 30.96
- Median
- 18.87
- BTI
- 14.52
- Q1
- 13.69
- Min
- 5.48
PM
Food, Beverage & Tobacco industry group
26.12
- Max
- 43.35
- Q3
- 30.96
- PM
- 26.12
- Median
- 18.87
- Q1
- 13.69
- Min
- 5.48
P/S Ratio (TTM)
Both look expensive on sales: British American Tobacco (BTI) at 4.77 sits in the upper P/S ratio quartile, and Philip Morris (PM) at 6.97 prices even higher, above its industry range.
BTI
Food, Beverage & Tobacco industry group
4.77
- BTI
- 4.77
- Max
- 4.77
- Q3
- 2.32
- Median
- 1.10
- Q1
- 0.56
- Min
- 0.00
PM
Food, Beverage & Tobacco industry group
6.97
- PM
- 6.97
- Max
- 4.77
- Q3
- 2.32
- Median
- 1.10
- Q1
- 0.56
- Min
- 0.00
P/B Ratio (MRQ)
Philip Morris (PM) reports a negative P/B ratio of -34.57, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile British American Tobacco (BTI) reports 9.85, ranking against industry peers normally.
BTI
Food, Beverage & Tobacco industry group
9.85
- BTI
- 9.85
- Max
- 6.14
- Q3
- 3.27
- Median
- 1.77
- Q1
- 0.96
- Min
- 0.00
PM
Food, Beverage & Tobacco industry group
-34.57
- Max
- 6.14
- Q3
- 3.27
- Median
- 1.77
- Q1
- 0.96
- Min
- 0.00
- PM
- -34.57
Valuation Metrics
| Metric | BTI | PM |
|---|---|---|
| P/E Ratio (TTM) | 14.52 | 26.12 |
| P/S Ratio (TTM) | 4.77 | 6.97 |
| P/B Ratio (MRQ) | 9.85 | -34.57 |
| Free Cash Flow Yield (TTM) | 2.87% | 3.27% |