Philip Morris International Inc (PM)vsUnion Pacific Corporation (UNP)
PM
Philip Morris International Inc
$165.50
+0.99%
CONSUMER DEFENSIVE · Cap: $255.09B
UNP
Union Pacific Corporation
$241.33
+0.69%
INDUSTRIALS · Cap: $142.22B
Smart Verdict
WallStSmart Research — data-driven comparison
Philip Morris International Inc generates 66% more annual revenue ($40.65B vs $24.51B). UNP leads profitability with a 29.1% profit margin vs 27.9%. PM appears more attractively valued with a PEG of 1.86. PM earns a higher WallStSmart Score of 70/100 (B-).
PM
Strong Buy70
out of 100
Grade: B-
UNP
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+17.9%
Fair Value
$201.54
Current Price
$165.50
$36.04 discount
Margin of Safety
-13.1%
Fair Value
$211.98
Current Price
$241.33
$29.35 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 32.9%
Keeps 28 of every $100 in revenue as profit
Generating 4.3B in free cash flow
Every $100 of equity generates 40 in profit
Strong operational efficiency at 40.9%
Large-cap with strong market position
Keeps 29 of every $100 in revenue as profit
Generating 1.2B in free cash flow
Areas to Watch
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Expensive relative to growth rate
Revenue declined 0.6%
Comparative Analysis Report
WallStSmart ResearchBull 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%.
Bull Case : UNP
The strongest argument for UNP centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 29.1% and operating margin at 40.9%.
Bear Case : PM
The primary concerns for PM are PEG Ratio, Return on Equity.
Bear Case : UNP
The primary concerns for UNP are PEG Ratio, Revenue Growth.
Key Dynamics to Monitor
PM profiles as a mature stock while UNP is a declining play — different risk/reward profiles.
UNP carries more volatility with a beta of 0.95 — 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 60/100), backed by strong 27.9% margins. Both earn "Strong 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.
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.
Union Pacific Corporation
INDUSTRIALS · RAILROADS · USA
The Union Pacific Corporation (Union Pacific) is a publicly traded railroad holding company. It was incorporated in Utah in 1969 and is headquartered in Omaha, Nebraska. It is the parent company of the current, Delaware-registered, form of the Union Pacific Railroad.
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