British American Tobacco p.l.c. (BTI)vsTarget Corporation (TGT)
BTI
British American Tobacco p.l.c.
$63.08
+1.24%
CONSUMER DEFENSIVE · Cap: $133.90B
TGT
Target Corporation
$145.90
+1.18%
CONSUMER DEFENSIVE · Cap: $63.40B
Smart Verdict
WallStSmart Research — data-driven comparison
Target Corporation generates 315% more annual revenue ($106.38B vs $25.61B). BTI leads profitability with a 30.3% profit margin vs 3.2%. BTI appears more attractively valued with a PEG of 1.60. BTI earns a higher WallStSmart Score of 59/100 (C).
BTI
Buy59
out of 100
Grade: C
TGT
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+21.0%
Fair Value
$75.72
Current Price
$63.08
$12.64 discount
Margin of Safety
+4.0%
Fair Value
$119.36
Current Price
$145.90
$26.54 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 30 of every $100 in revenue as profit
Strong operational efficiency at 34.6%
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Attractively priced relative to earnings
Generating 3.0B in free cash flow
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Areas to Watch
Expensive relative to growth rate
Trading at 11.1x book value
0.1% revenue growth
1.6% earnings growth
3.2% margin — thin
Operating margin of 4.5%
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull 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 : TGT
The strongest argument for TGT centers on Market Cap, Return on Equity.
Bear Case : BTI
The primary concerns for BTI are PEG Ratio, Price/Book, Revenue Growth.
Bear Case : TGT
The primary concerns for TGT are Profit Margin, Operating Margin, Debt/Equity. Thin 3.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
TGT carries more volatility with a beta of 0.98 — expect wider price swings.
TGT is growing revenue faster at 6.7% — sustainability is the question.
BTI generates stronger free cash flow (3.0B), providing more financial flexibility.
Monitor TOBACCO industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BTI scores higher overall (59/100 vs 52/100), backed by strong 30.3% margins. Both earn "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.
Target Corporation
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Target Corporation is an American retail corporation. Their retail formats include the discount store Target, the hypermarket SuperTarget, and small-format stores previously named CityTarget and TargetExpress before being consolidated under the Target branding.
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