WallStSmart

British American Tobacco p.l.c. (BTI)vsWalmart Inc. (WMT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Walmart Inc. generates 2755% more annual revenue ($735.84B vs $25.78B). BTI leads profitability with a 25.0% profit margin vs 3.0%. BTI appears more attractively valued with a PEG of 1.35. 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

WMT

Hold

43

out of 100

Grade: D

Growth: 4.7Profit: 5.5Value: 3.7Quality: 6.0
Piotroski: 4/9Altman Z: 3.66
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BTIUndervalued (+27.2%)

Margin of Safety

+27.2%

Fair Value

$75.86

Current Price

$55.24

$20.62 discount

UndervaluedFair: $75.86Overvalued

Intrinsic value data unavailable for WMT.

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

WMT4 strengths · Avg: 9.3/10
Market CapQuality
$852.71B10/10

Mega-cap, among the largest globally

Altman Z-ScoreHealth
3.6610/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
22.5%9/10

Every $100 of equity generates 22 in profit

Free Cash FlowQuality
$7.47B8/10

Generating 7.5B in free cash flow

Areas to Watch

BTI4 concerns · Avg: 3.0/10
Price/BookValuation
9.5x4/10

Trading at 9.5x 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

WMT4 concerns · Avg: 3.5/10
P/E RatioValuation
38.3x4/10

Premium valuation, high expectations priced in

Price/BookValuation
9.0x4/10

Trading at 9.0x book value

Profit MarginProfitability
3.0%3/10

3.0% margin — thin

Operating MarginProfitability
3.5%3/10

Operating margin of 3.5%

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 : WMT

The strongest argument for WMT centers on Market Cap, Altman Z-Score, Return on Equity.

Bear Case : BTI

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

Bear Case : WMT

The primary concerns for WMT are P/E Ratio, Price/Book, Profit Margin. Thin 3.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

WMT carries more volatility with a beta of 0.59 — expect wider price swings.

WMT is growing revenue faster at 5.9% — sustainability is the question.

WMT generates stronger free cash flow (7.5B), providing more financial flexibility.

Monitor TOBACCO industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BTI scores higher overall (60/100 vs 43/100), backed by strong 25.0% margins. Both earn "Buy" and "Hold" 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.

Walmart Inc.

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

Walmart Inc. is an American multinational retail corporation that operates a chain of hypermarkets, discount department stores, and grocery stores from the United States, headquartered in Bentonville, Arkansas. It also owns and operates Sam's Club retail warehouses.

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