WallStSmart

British American Tobacco p.l.c. (BTI)vsHDFC Bank Limited ADR (HDB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HDFC Bank Limited ADR generates 10963% more annual revenue ($2.83T vs $25.61B). BTI leads profitability with a 30.3% profit margin vs 26.8%. HDB appears more attractively valued with a PEG of 1.01. HDB earns a higher WallStSmart Score of 68/100 (B-).

BTI

Buy

60

out of 100

Grade: C+

Growth: 3.3Profit: 8.5Value: 6.7Quality: 5.0

HDB

Strong Buy

68

out of 100

Grade: B-

Growth: 6.0Profit: 7.5Value: 5.7Quality: 4.3
Piotroski: 5/9Altman Z: -0.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BTIUndervalued (+23.4%)

Margin of Safety

+23.4%

Fair Value

$78.80

Current Price

$58.28

$20.52 discount

UndervaluedFair: $78.80Overvalued

Intrinsic value data unavailable for HDB.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BTI5 strengths · Avg: 9.0/10
Profit MarginProfitability
30.3%10/10

Keeps 30 of every $100 in revenue as profit

Operating MarginProfitability
34.6%10/10

Strong operational efficiency at 34.6%

Market CapQuality
$125.67B9/10

Large-cap with strong market position

P/E RatioValuation
12.3x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$2.98B8/10

Generating 3.0B in free cash flow

HDB4 strengths · Avg: 9.5/10
Operating MarginProfitability
40.5%10/10

Strong operational efficiency at 40.5%

Free Cash FlowQuality
$1.72T10/10

Generating 1.7T in free cash flow

Market CapQuality
$131.53B9/10

Large-cap with strong market position

Profit MarginProfitability
26.8%9/10

Keeps 27 of every $100 in revenue as profit

Areas to Watch

BTI4 concerns · Avg: 4.0/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

Price/BookValuation
10.1x4/10

Trading at 10.1x book value

Revenue GrowthGrowth
0.1%4/10

0.1% revenue growth

EPS GrowthGrowth
1.6%4/10

1.6% earnings growth

HDB4 concerns · Avg: 2.8/10
Price/BookValuation
10.3x4/10

Trading at 10.3x book value

Debt/EquityHealth
1.093/10

Elevated debt levels

Revenue GrowthGrowth
-1.8%2/10

Revenue declined 1.8%

Altman Z-ScoreHealth
-0.112/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : BTI

The strongest argument for BTI centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 30.3% and operating margin at 34.6%.

Bull Case : HDB

The strongest argument for HDB centers on Operating Margin, Free Cash Flow, Market Cap. Profitability is solid with margins at 26.8% and operating margin at 40.5%. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bear Case : BTI

The primary concerns for BTI are PEG Ratio, Price/Book, Revenue Growth.

Bear Case : HDB

The primary concerns for HDB are Price/Book, Debt/Equity, Revenue Growth.

Key Dynamics to Monitor

BTI profiles as a value stock while HDB is a declining play — different risk/reward profiles.

HDB carries more volatility with a beta of 0.48 — expect wider price swings.

BTI is growing revenue faster at 0.1% — sustainability is the question.

HDB generates stronger free cash flow (1.7T), providing more financial flexibility.

Bottom Line

HDB scores higher overall (68/100 vs 60/100), backed by strong 26.8% margins. BTI offers better value entry with a 23.4% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

British American Tobacco p.l.c.

CONSUMER DEFENSIVE · TOBACCO · USA

British American Tobacco plc offers tobacco and nicotine products to consumers around the world. The company is headquartered in London, the United Kingdom.

HDFC Bank Limited ADR

FINANCIAL SERVICES · BANKS - REGIONAL · USA

HDFC Bank Limited offers various banking and financial services to individuals and businesses in India, Bahrain, Hong Kong and Dubai. The company is headquartered in Mumbai, India.

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