WallStSmart

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

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Philip Morris International Inc generates 102% more annual revenue ($40.65B vs $20.14B). MO leads profitability with a 34.5% profit margin vs 27.9%. MO appears more attractively valued with a PEG of 1.73. PM earns a higher WallStSmart Score of 70/100 (B-).

MO

Hold

47

out of 100

Grade: D+

Growth: 2.0Profit: 8.5Value: 7.3Quality: 6.5
Piotroski: 4/9Altman Z: 2.86

PM

Strong Buy

70

out of 100

Grade: B-

Growth: 6.0Profit: 8.5Value: 9.3Quality: 5.3
Piotroski: 5/9Altman Z: 2.18
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MOSignificantly Overvalued (-135.3%)

Margin of Safety

-135.3%

Fair Value

$28.02

Current Price

$64.47

$36.45 premium

UndervaluedFair: $28.02Overvalued
PMUndervalued (+19.1%)

Margin of Safety

+19.1%

Fair Value

$201.82

Current Price

$163.11

$38.71 discount

UndervaluedFair: $201.82Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MO6 strengths · Avg: 9.2/10
Profit MarginProfitability
34.5%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
57.1%10/10

Strong operational efficiency at 57.1%

Debt/EquityHealth
-7.3410/10

Conservative balance sheet, low leverage

Market CapQuality
$113.36B9/10

Large-cap with strong market position

P/E RatioValuation
16.4x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$3.18B8/10

Generating 3.2B in free cash flow

PM4 strengths · Avg: 9.3/10
Market CapQuality
$272.08B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
32.9%10/10

Strong operational efficiency at 32.9%

Profit MarginProfitability
27.9%9/10

Keeps 28 of every $100 in revenue as profit

Free Cash FlowQuality
$4.26B8/10

Generating 4.3B in free cash flow

Areas to Watch

MO4 concerns · Avg: 2.8/10
PEG RatioValuation
1.734/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Revenue GrowthGrowth
-50.0%2/10

Revenue declined 50.0%

EPS GrowthGrowth
-62.9%2/10

Earnings declined 62.9%

PM2 concerns · Avg: 3.5/10
PEG RatioValuation
2.004/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

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 34.5% and operating margin at 57.1%.

Bull Case : PM

The strongest argument for PM centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 27.9% and operating margin at 32.9%.

Bear Case : MO

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

Bear Case : PM

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

Key Dynamics to Monitor

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

MO carries more volatility with a beta of 0.43 — expect wider price swings.

PM is growing revenue faster at 6.8% — sustainability is the question.

PM generates stronger free cash flow (4.3B), providing more financial flexibility.

Bottom Line

PM scores higher overall (70/100 vs 47/100), backed by strong 27.9% margins. Both earn "Strong 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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