WallStSmart

Altria Group (MO)vsPhilip Morris International Inc (PM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Philip Morris International Inc generates 108% more annual revenue ($42.55B vs $20.44B). MO leads profitability with a 39.0% profit margin vs 25.6%. PM appears more attractively valued with a PEG of 2.28. PM earns a higher WallStSmart Score of 54/100 (C-).

MO

Hold

47

out of 100

Grade: D+

Growth: 2.7Profit: 8.5Value: 4.0Quality: 6.5
Piotroski: 4/9Altman Z: 2.86

PM

Buy

54

out of 100

Grade: C-

Growth: 4.7Profit: 8.0Value: 4.0Quality: 6.5
Piotroski: 4/9Altman Z: 2.02
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MOSignificantly Overvalued (-51.2%)

Margin of Safety

-51.2%

Fair Value

$46.11

Current Price

$69.70

$23.59 premium

UndervaluedFair: $46.11Overvalued
PMSignificantly Overvalued (-67.5%)

Margin of Safety

-67.5%

Fair Value

$114.04

Current Price

$190.48

$76.44 premium

UndervaluedFair: $114.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MO5 strengths · Avg: 9.4/10
Profit MarginProfitability
39.0%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
76.1%10/10

Strong operational efficiency at 76.1%

Debt/EquityHealth
-9.2110/10

Conservative balance sheet, low leverage

Market CapQuality
$115.18B9/10

Large-cap with strong market position

P/E RatioValuation
14.5x8/10

Attractively priced relative to earnings

PM5 strengths · Avg: 9.4/10
Market CapQuality
$297.79B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
40.0%10/10

Strong operational efficiency at 40.0%

Debt/EquityHealth
-5.7210/10

Conservative balance sheet, low leverage

Profit MarginProfitability
25.6%9/10

Keeps 26 of every $100 in revenue as profit

Free Cash FlowQuality
$5.11B8/10

Generating 5.1B in free cash flow

Areas to Watch

MO4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
1.2%4/10

1.2% revenue growth

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

PEG RatioValuation
2.602/10

Expensive relative to growth rate

EPS GrowthGrowth
-2.7%2/10

Earnings declined 2.7%

PM4 concerns · Avg: 3.3/10
PEG RatioValuation
2.284/10

Expensive relative to growth rate

P/E RatioValuation
26.0x4/10

Moderate valuation

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

EPS GrowthGrowth
-7.5%2/10

Earnings declined 7.5%

Comparative Analysis Report

WallStSmart Research

Bull Case : MO

The strongest argument for MO centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 39.0% and operating margin at 76.1%.

Bull Case : PM

The strongest argument for PM centers on Market Cap, Operating Margin, Debt/Equity. Profitability is solid with margins at 25.6% and operating margin at 40.0%. Revenue growth of 10.4% demonstrates continued momentum.

Bear Case : MO

The primary concerns for MO are Revenue Growth, Return on Equity, PEG Ratio.

Bear Case : PM

The primary concerns for PM are PEG Ratio, P/E Ratio, Return on Equity.

Key Dynamics to Monitor

MO profiles as a value stock while PM is a mature play — different risk/reward profiles.

MO carries more volatility with a beta of 0.49 — expect wider price swings.

PM is growing revenue faster at 10.4% — sustainability is the question.

PM generates stronger free cash flow (5.1B), providing more financial flexibility.

Bottom Line

PM scores higher overall (54/100 vs 47/100), backed by strong 25.6% margins and 10.4% revenue growth. 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.

Altria Group

CONSUMER DEFENSIVE · TOBACCO · USA

Altria Group, Inc. (previously known as Philip Morris Companies, Inc.) is an American corporation and one of the world's largest producers and marketers of tobacco, cigarettes and related products. It operates worldwide and is headquartered in unincorporated Henrico County, Virginia, just outside the city of Richmond.

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Philip Morris International Inc

CONSUMER DEFENSIVE · TOBACCO · USA

Philip Morris International Inc. (PMI) is a Swiss-American multinational cigarette and tobacco manufacturing company, with products sold in over 180 countries. The most recognized and best selling product of the company is Marlboro.

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