WallStSmart

British American Tobacco p.l.c. (BTI)vsTurning Point Brands Inc (TPB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

British American Tobacco p.l.c. generates 4982% more annual revenue ($25.78B vs $507.23M). BTI leads profitability with a 25.0% profit margin vs 8.8%. TPB appears more attractively valued with a PEG of 0.05. BTI earns a higher WallStSmart Score of 60/100 (C).

BTI

Buy

60

out of 100

Grade: C

Growth: 2.7Profit: 8.5Value: 7.3Quality: 5.0
Piotroski: 7/9Altman Z: 1.33

TPB

Buy

54

out of 100

Grade: C-

Growth: 6.0Profit: 6.0Value: 6.3Quality: 7.5
Piotroski: 4/9Altman Z: 2.55
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BTIUndervalued (+27.2%)

Margin of Safety

+27.2%

Fair Value

$75.86

Current Price

$56.02

$19.84 discount

UndervaluedFair: $75.86Overvalued

Intrinsic value data unavailable for TPB.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BTI5 strengths · Avg: 8.8/10
Operating MarginProfitability
34.9%10/10

Strong operational efficiency at 34.9%

Market CapQuality
$118.95B9/10

Large-cap with strong market position

Profit MarginProfitability
25.0%9/10

Keeps 25 of every $100 in revenue as profit

P/E RatioValuation
13.9x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$2.47B8/10

Generating 2.5B in free cash flow

TPB3 strengths · Avg: 9.0/10
PEG RatioValuation
0.0510/10

Growing faster than its price suggests

Return on EquityProfitability
22.5%9/10

Every $100 of equity generates 23 in profit

Revenue GrowthGrowth
22.6%8/10

Revenue surging 22.6% year-over-year

Areas to Watch

BTI4 concerns · Avg: 3.0/10
Price/BookValuation
9.6x4/10

Trading at 9.6x book value

Revenue GrowthGrowth
1.4%4/10

1.4% revenue growth

EPS GrowthGrowth
-28.6%2/10

Earnings declined 28.6%

Altman Z-ScoreHealth
1.332/10

Distress zone — elevated risk

TPB4 concerns · Avg: 3.0/10
P/E RatioValuation
32.4x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.47B3/10

Smaller company, higher risk/reward

Operating MarginProfitability
4.2%3/10

Operating margin of 4.2%

EPS GrowthGrowth
-77.2%2/10

Earnings declined 77.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : BTI

The strongest argument for BTI centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 25.0% and operating margin at 34.9%. PEG of 1.35 suggests the stock is reasonably priced for its growth.

Bull Case : TPB

The strongest argument for TPB centers on PEG Ratio, Return on Equity, Revenue Growth. Revenue growth of 22.6% demonstrates continued momentum. PEG of 0.05 suggests the stock is reasonably priced for its growth.

Bear Case : BTI

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

Bear Case : TPB

The primary concerns for TPB are P/E Ratio, Market Cap, Operating Margin.

Key Dynamics to Monitor

BTI profiles as a value stock while TPB is a growth play — different risk/reward profiles.

TPB carries more volatility with a beta of 0.94 — expect wider price swings.

TPB is growing revenue faster at 22.6% — sustainability is the question.

BTI generates stronger free cash flow (2.5B), providing more financial flexibility.

Bottom Line

BTI scores higher overall (60/100 vs 54/100), backed by strong 25.0% 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.

Turning Point Brands Inc

CONSUMER DEFENSIVE · TOBACCO · USA

Turning Point Brands, Inc. manufactures, markets and distributes branded consumer products. The company is headquartered in Louisville, Kentucky.

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