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

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

Company Profile

SymbolPMWFC
Company NamePhilip Morris International Inc.Wells Fargo & Company
CountryUnited StatesUnited States
GICS SectorConsumer StaplesFinancials
GICS IndustryTobaccoBanks
Market Capitalization258.21 billion USD249.52 billion USD
ExchangeNYSENYSE
Listing DateMarch 17, 2008June 1, 1972
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of PM and WFC 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.

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

Historical Performance at a Glance

SymbolPMWFC
5-Day Price Return-1.36%1.09%
13-Week Price Return0.64%4.02%
26-Week Price Return14.15%-4.34%
52-Week Price Return42.89%49.62%
Month-to-Date Return1.12%-3.40%
Year-to-Date Return37.83%10.89%
10-Day Avg. Volume5.70M14.51M
3-Month Avg. Volume6.12M18.42M
3-Month Volatility26.22%24.32%
Beta0.501.27

Profitability

Return on Equity (TTM)

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.

WFC

11.36%

Banks Industry

Max
26.37%
Q3
15.92%
Median
12.25%
Q1
8.69%
Min
0.15%

WFC’s Return on Equity of 11.36% is on par with the norm for the Banks industry, indicating its profitability relative to shareholder equity is typical for the sector.

PM vs. WFC: A comparison of their Return on Equity (TTM) against their respective Tobacco and Banks industry benchmarks.

Net Profit Margin (TTM)

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.

WFC

22.19%

Banks Industry

Max
54.20%
Q3
35.70%
Median
28.97%
Q1
22.53%
Min
6.98%

Falling into the lower quartile for the Banks industry, WFC’s Net Profit Margin of 22.19% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

PM vs. WFC: A comparison of their Net Profit Margin (TTM) against their respective Tobacco and Banks industry benchmarks.

Operating Profit Margin (TTM)

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.

WFC

25.35%

Banks Industry

Max
63.35%
Q3
44.59%
Median
37.24%
Q1
28.25%
Min
13.37%

WFC’s Operating Profit Margin of 25.35% is in the lower quartile for the Banks industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

PM vs. WFC: A comparison of their Operating Profit Margin (TTM) against their respective Tobacco and Banks industry benchmarks.

Profitability at a Glance

SymbolPMWFC
Return on Equity (TTM)575.44%11.36%
Return on Assets (TTM)12.56%1.06%
Net Profit Margin (TTM)21.08%22.19%
Operating Profit Margin (TTM)36.28%25.35%
Gross Profit Margin (TTM)66.46%--

Financial Strength

Current Ratio (MRQ)

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.

WFC

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

For the Banks industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

PM vs. WFC: A comparison of their Current Ratio (MRQ) against their respective Tobacco and Banks industry benchmarks.

Debt-to-Equity Ratio (MRQ)

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.

WFC

2.01

Banks Industry

Max
4.75
Q3
2.62
Median
1.02
Q1
0.39
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Banks industry.

PM vs. WFC: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Tobacco and Banks industry benchmarks.

Interest Coverage Ratio (TTM)

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.

WFC

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks industry.

PM vs. WFC: A comparison of their Interest Coverage Ratio (TTM) against their respective Tobacco and Banks industry benchmarks.

Financial Strength at a Glance

SymbolPMWFC
Current Ratio (MRQ)0.83--
Quick Ratio (MRQ)0.83--
Debt-to-Equity Ratio (MRQ)186.082.01
Interest Coverage Ratio (TTM)11.67--

Growth

Revenue Growth

PM vs. WFC: 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

PM vs. WFC: 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)

PM

3.23%

Tobacco Industry

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

PM’s Dividend Yield of 3.23% 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.

WFC

2.53%

Banks Industry

Max
10.27%
Q3
5.83%
Median
3.81%
Q1
2.50%
Min
0.00%

WFC’s Dividend Yield of 2.53% is consistent with its peers in the Banks industry, providing a dividend return that is standard for its sector.

PM vs. WFC: A comparison of their Dividend Yield (TTM) against their respective Tobacco and Banks industry benchmarks.

Dividend Payout Ratio (TTM)

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.

WFC

31.00%

Banks Industry

Max
147.07%
Q3
80.55%
Median
54.40%
Q1
35.71%
Min
0.00%

WFC’s Dividend Payout Ratio of 31.00% is in the lower quartile for the Banks industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

PM vs. WFC: A comparison of their Dividend Payout Ratio (TTM) against their respective Tobacco and Banks industry benchmarks.

Dividend at a Glance

SymbolPMWFC
Dividend Yield (TTM)3.23%2.53%
Dividend Payout Ratio (TTM)70.92%31.00%

Valuation

Price-to-Earnings Ratio (TTM)

PM

31.39

Tobacco Industry

Max
42.16
Q3
36.45
Median
20.93
Q1
10.52
Min
9.15

PM’s P/E Ratio of 31.39 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.

WFC

12.27

Banks Industry

Max
20.05
Q3
12.65
Median
10.21
Q1
7.54
Min
2.74

WFC’s P/E Ratio of 12.27 is within the middle range for the Banks 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 vs. WFC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Tobacco and Banks industry benchmarks.

Price-to-Sales Ratio (TTM)

PM

6.62

Tobacco Industry

Max
10.48
Q3
5.39
Median
3.32
Q1
1.54
Min
0.59

PM’s P/S Ratio of 6.62 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.

WFC

1.91

Banks Industry

Max
5.06
Q3
2.98
Median
2.24
Q1
1.59
Min
0.45

The P/S Ratio is often not a primary valuation tool in the Banks industry.

PM vs. WFC: A comparison of their Price-to-Sales Ratio (TTM) against their respective Tobacco and Banks industry benchmarks.

Price-to-Book Ratio (MRQ)

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.

WFC

1.42

Banks Industry

Max
2.18
Q3
1.36
Median
1.09
Q1
0.81
Min
0.20

WFC’s P/B Ratio of 1.42 is in the upper tier for the Banks 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 vs. WFC: A comparison of their Price-to-Book Ratio (MRQ) against their respective Tobacco and Banks industry benchmarks.

Valuation at a Glance

SymbolPMWFC
Price-to-Earnings Ratio (TTM)31.3912.27
Price-to-Sales Ratio (TTM)6.621.91
Price-to-Book Ratio (MRQ)1,368.861.42
Price-to-Free Cash Flow Ratio (TTM)26.5216.66