British American Tobacco p.l.c. (BTI)vsUnitedHealth Group Incorporated (UNH)
BTI
British American Tobacco p.l.c.
$58.28
+0.34%
CONSUMER DEFENSIVE · Cap: $125.67B
UNH
UnitedHealth Group Incorporated
$379.98
+2.77%
HEALTHCARE · Cap: $335.78B
Smart Verdict
WallStSmart Research — data-driven comparison
UnitedHealth Group Incorporated generates 1656% more annual revenue ($449.71B vs $25.61B). BTI leads profitability with a 30.3% profit margin vs 2.7%. UNH appears more attractively valued with a PEG of 1.27. BTI earns a higher WallStSmart Score of 60/100 (C+).
BTI
Buy60
out of 100
Grade: C+
UNH
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+23.4%
Fair Value
$78.80
Current Price
$58.28
$20.52 discount
Margin of Safety
+42.2%
Fair Value
$639.72
Current Price
$379.98
$259.74 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 30 of every $100 in revenue as profit
Strong operational efficiency at 34.6%
Large-cap with strong market position
Attractively priced relative to earnings
Generating 3.0B in free cash flow
Mega-cap, among the largest globally
Generating 8.1B in free cash flow
Areas to Watch
Expensive relative to growth rate
Trading at 10.1x book value
0.1% revenue growth
1.6% earnings growth
Moderate valuation
2.0% revenue growth
0.7% earnings growth
2.7% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : BTI
The strongest argument for BTI centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 30.3% and operating margin at 34.6%.
Bull Case : UNH
The strongest argument for UNH centers on Market Cap, Free Cash Flow. PEG of 1.27 suggests the stock is reasonably priced for its growth.
Bear Case : BTI
The primary concerns for BTI are PEG Ratio, Price/Book, Revenue Growth.
Bear Case : UNH
The primary concerns for UNH are P/E Ratio, Revenue Growth, EPS Growth. Thin 2.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
UNH carries more volatility with a beta of 0.65 — expect wider price swings.
UNH is growing revenue faster at 2.0% — sustainability is the question.
UNH generates stronger free cash flow (8.1B), providing more financial flexibility.
Monitor TOBACCO industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BTI scores higher overall (60/100 vs 54/100), backed by strong 30.3% margins. UNH offers better value entry with a 42.2% margin of safety. 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.
UnitedHealth Group Incorporated
HEALTHCARE · HEALTHCARE PLANS · USA
UnitedHealth Group Incorporated is an American for-profit multinational managed healthcare and insurance company based in Minnetonka, Minnesota. It offers health care products and insurance services. In 2020, it was the second-largest healthcare company (behind CVS Health) by revenue with $257.1 billion, and the largest insurance company by net premiums. UnitedHealthcare revenues comprise 80% of the Group's overall revenue.
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