PG vs. PM: A Head-to-Head Stock Comparison
Here's a clear look at PG and PM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | PG | PM |
|---|---|---|
| Company Name | The Procter & Gamble Company | Philip Morris International Inc. |
| Country | United States | United States |
| GICS Sector | Consumer Staples | Consumer Staples |
| GICS Industry Group | Household & Personal Products | Food, Beverage & Tobacco |
| GICS Industry | Household Products | Tobacco |
| GICS Sub-Industry | Household Products | Tobacco |
| Market Capitalization | 333.48 billion USD | 254.88 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 2, 1962 | March 17, 2008 |
| Security Type | Common Stock | Common Stock |
PG's market capitalization stands at 333.48 billion USD, while PM's is 254.88 billion USD, indicating their market valuations are broadly comparable.
Historical Performance
This chart compares the performance of PG 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.
Historical Performance at a Glance
| Symbol | PG | PM |
|---|---|---|
| 5-Day Price Return | -0.89% | 0.18% |
| 13-Week Price Return | -0.33% | 0.91% |
| 26-Week Price Return | -6.77% | 0.96% |
| 52-Week Price Return | -15.41% | 5.50% |
| Month-to-Date Return | -14.65% | -12.47% |
| Year-to-Date Return | -0.42% | 1.96% |
| 10-Day Avg. Volume | 13.94M | 4.49M |
| 3-Month Avg. Volume | 11.28M | 5.54M |
| 3-Month Volatility | 20.08% | 26.81% |
| Beta | 0.45 | 0.47 |
With betas of 0.45 for PG and 0.47 for PM, both stocks show similar sensitivity to overall market movements.
Profitability
Return on Equity (TTM)
PG
31.21%
Household Products Industry
- Max
- 221.78%
- Q3
- 155.52%
- Median
- 16.27%
- Q1
- 9.90%
- Min
- -4.30%
PG's Return on Equity of 31.21% is on par with the norm for the Household Products industry, indicating its profitability relative to shareholder equity is typical for the sector.
PM
575.44%
Tobacco Industry
- Max
- 42.31%
- Q3
- 42.31%
- Median
- 18.49%
- Q1
- 6.40%
- Min
- 4.80%
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.
Net Profit Margin (TTM)
PG
19.30%
Household Products Industry
- Max
- 23.92%
- Q3
- 13.87%
- Median
- 10.16%
- Q1
- 6.90%
- Min
- 5.04%
A Net Profit Margin of 19.30% places PG in the upper quartile for the Household Products industry, signifying strong profitability and more effective cost management than most of its peers.
PM
27.92%
Tobacco Industry
- Max
- 30.32%
- Q3
- 28.40%
- Median
- 14.71%
- Q1
- 7.20%
- Min
- 5.89%
PM's Net Profit Margin of 27.92% 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 (TTM)
PG
23.58%
Household Products Industry
- Max
- 23.58%
- Q3
- 16.66%
- Median
- 14.04%
- Q1
- 10.79%
- Min
- 7.72%
An Operating Profit Margin of 23.58% places PG in the upper quartile for the Household Products industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
PM
36.64%
Tobacco Industry
- Max
- 42.52%
- Q3
- 37.24%
- Median
- 21.02%
- Q1
- 10.77%
- Min
- 8.28%
PM's Operating Profit Margin of 36.64% is around the midpoint for the Tobacco industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | PG | PM |
|---|---|---|
| Return on Equity (TTM) | 31.21% | 575.44% |
| Return on Assets (TTM) | 13.08% | 16.82% |
| Net Profit Margin (TTM) | 19.30% | 27.92% |
| Operating Profit Margin (TTM) | 23.58% | 36.64% |
| Gross Profit Margin (TTM) | 51.11% | 67.13% |
Financial Strength
Current Ratio (MRQ)
PG
0.72
Household Products Industry
- Max
- 3.42
- Q3
- 2.06
- Median
- 1.27
- Q1
- 0.74
- Min
- 0.56
PG's Current Ratio of 0.72 falls into the lower quartile for the Household Products industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
PM
0.96
Tobacco Industry
- Max
- 2.57
- Q3
- 1.93
- Median
- 1.17
- Q1
- 0.84
- Min
- 0.65
PM's Current Ratio of 0.96 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 (MRQ)
PG
0.69
Household Products Industry
- Max
- 2.95
- Q3
- 1.47
- Median
- 0.49
- Q1
- 0.14
- Min
- 0.01
PG's Debt-to-Equity Ratio of 0.69 is typical for the Household Products 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
- 2.07
- Q3
- 2.07
- Median
- 0.58
- Q1
- 0.11
- 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.
Interest Coverage Ratio (TTM)
PG
47.04
Household Products Industry
- Max
- 83.52
- Q3
- 50.65
- Median
- 15.04
- Q1
- 9.47
- Min
- 5.57
PG's Interest Coverage Ratio of 47.04 is positioned comfortably within the norm for the Household Products industry, indicating a standard and healthy capacity to cover its interest payments.
PM
15.37
Tobacco Industry
- Max
- 274.52
- Q3
- 114.31
- Median
- 12.22
- Q1
- 7.49
- Min
- -11.45
PM's Interest Coverage Ratio of 15.37 is positioned comfortably within the norm for the Tobacco industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | PG | PM |
|---|---|---|
| Current Ratio (MRQ) | 0.72 | 0.96 |
| Quick Ratio (MRQ) | 0.47 | 0.51 |
| Debt-to-Equity Ratio (MRQ) | 0.69 | 186.08 |
| Interest Coverage Ratio (TTM) | 47.04 | 15.37 |
Growth
Revenue Growth
Revenue Growth at a Glance
| Symbol | PG | PM |
|---|---|---|
| Revenue Growth (MRQ vs Prior YoY) | 1.49% | 6.76% |
| Revenue Growth (TTM vs Prior YoY) | 1.08% | 7.31% |
| 3-Year Revenue CAGR | 1.67% | 8.57% |
| 5-Year Revenue CAGR | 3.50% | 7.21% |
EPS Growth
EPS Growth at a Glance
| Symbol | PG | PM |
|---|---|---|
| EPS Growth (MRQ vs Prior YoY) | -5.38% | -- |
| EPS Growth (TTM vs Prior YoY) | 7.54% | 60.61% |
| 3-Year EPS CAGR | 3.88% | 7.70% |
| 5-Year EPS CAGR | 5.58% | 7.09% |
Dividend
Dividend Yield (TTM)
PG
3.04%
Household Products Industry
- Max
- 6.89%
- Q3
- 4.50%
- Median
- 3.19%
- Q1
- 1.83%
- Min
- 0.00%
PG's Dividend Yield of 3.04% is consistent with its peers in the Household Products industry, providing a dividend return that is standard for its sector.
PM
3.39%
Tobacco Industry
- Max
- 7.84%
- Q3
- 6.34%
- Median
- 4.49%
- Q1
- 2.79%
- Min
- 0.00%
PM's Dividend Yield of 3.39% is consistent with its peers in the Tobacco industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
PG
61.26%
Household Products Industry
- Max
- 108.12%
- Q3
- 84.84%
- Median
- 63.20%
- Q1
- 44.02%
- Min
- 0.00%
PG's Dividend Payout Ratio of 61.26% is within the typical range for the Household Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
PM
76.00%
Tobacco Industry
- Max
- 100.19%
- Q3
- 82.05%
- Median
- 72.44%
- Q1
- 67.47%
- Min
- 49.96%
PM's Dividend Payout Ratio of 76.00% is within the typical range for the Tobacco industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | PG | PM |
|---|---|---|
| Dividend Yield (TTM) | 3.04% | 3.39% |
| Dividend Payout Ratio (TTM) | 61.26% | 76.00% |
Valuation
Price-to-Earnings Ratio (TTM)
PG
20.16
Household Products Industry
- Max
- 25.98
- Q3
- 18.26
- Median
- 15.99
- Q1
- 12.76
- Min
- 9.69
A P/E Ratio of 20.16 places PG in the upper quartile for the Household Products industry. This high valuation relative to peers suggests the market holds elevated expectations for the company's future growth.
PM
22.43
Tobacco Industry
- Max
- 22.43
- Q3
- 20.81
- Median
- 14.42
- Q1
- 12.08
- Min
- 11.46
A P/E Ratio of 22.43 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.
Price-to-Sales Ratio (TTM)
PG
3.89
Household Products Industry
- Max
- 3.61
- Q3
- 2.31
- Median
- 1.83
- Q1
- 1.25
- Min
- 0.67
With a P/S Ratio of 3.89, PG trades at a valuation that eclipses even the highest in the Household Products industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
PM
6.26
Tobacco Industry
- Max
- 6.26
- Q3
- 3.92
- Median
- 3.32
- Q1
- 1.50
- Min
- 0.74
PM's P/S Ratio of 6.26 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.
Price-to-Book Ratio (MRQ)
PG
6.31
Household Products Industry
- Max
- 22.29
- Q3
- 15.58
- Median
- 3.59
- Q1
- 1.39
- Min
- 1.18
PG's P/B Ratio of 6.31 is within the conventional range for the Household 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.
PM
1,368.86
Tobacco Industry
- Max
- 5.29
- Q3
- 5.29
- Median
- 2.98
- Q1
- 2.24
- Min
- 1.23
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.
Valuation at a Glance
| Symbol | PG | PM |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 20.16 | 22.43 |
| Price-to-Sales Ratio (TTM) | 3.89 | 6.26 |
| Price-to-Book Ratio (MRQ) | 6.31 | 1,368.86 |
| Price-to-Free Cash Flow Ratio (TTM) | 22.34 | 22.30 |