Analyzing British American Tobacco (NYSE:BTI) and British American Tobacco (OTCMKTS:BTAFF)

British American Tobacco (NYSE:BTI) and British American Tobacco (OTCMKTS:BTAFF) are both consumer staples companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitability and analyst recommendations.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for British American Tobacco and British American Tobacco, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
British American Tobacco	2	1	8	0	2.55
British American Tobacco	0	0	0	0	0.00

British American Tobacco presently has a consensus target price of $51.00, suggesting a potential downside of 11.20%. Given British American Tobacco’s stronger consensus rating and higher possible upside, equities analysts clearly believe British American Tobacco is more favorable than British American Tobacco.

Valuation & Earnings

This table compares British American Tobacco and British American Tobacco”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
British American Tobacco	$33.06 billion	3.56	$3.92 billion	N/A	N/A
British American Tobacco	N/A	N/A	N/A	$1.92	29.05

British American Tobacco has higher revenue and earnings than British American Tobacco.

Profitability

This table compares British American Tobacco and British American Tobacco’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
British American Tobacco	N/A	N/A	N/A
British American Tobacco	N/A	N/A	N/A

Insider & Institutional Ownership

16.2% of British American Tobacco shares are owned by institutional investors. Comparatively, 39.7% of British American Tobacco shares are owned by institutional investors. 0.0% of British American Tobacco shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Dividends

British American Tobacco pays an annual dividend of $2.96 per share and has a dividend yield of 5.2%. British American Tobacco pays an annual dividend of $1.42 per share and has a dividend yield of 2.6%. British American Tobacco pays out 74.3% of its earnings in the form of a dividend.

Summary

British American Tobacco beats British American Tobacco on 7 of the 8 factors compared between the two stocks.

About British American Tobacco

British American Tobacco p.l.c. engages in the provision of tobacco and nicotine products to consumers worldwide. It also offers vapour, heated, and modern oral nicotine products; combustible cigarettes; and traditional oral products, such as snus and moist snuff. The company offers its products under the Vuse, glo, Velo, Grizzly, Kodiak, Dunhill, Kent, Lucky Strike, Pall Mall, Rothmans, Camel, Natural American Spirit, Newport, Vogue, Viceroy, Kool, Peter Stuyvesant, Craven A, State Express 555 and Shuang Xi brands. It also distributes its products to retail outlets. British American Tobacco p.l.c. was founded in 1902 and is based in London, the United Kingdom.

About British American Tobacco

British American Tobacco p.l.c. engages in the provision of tobacco and nicotine products to consumers worldwide. It also offers vapour, heated, and modern oral nicotine products; combustible cigarettes; and traditional oral products, such as snus and moist snuff. The company offers its products under the Vuse, glo, Velo, Grizzly, Kodiak, Dunhill, Kent, Lucky Strike, Pall Mall, Rothmans, Camel, Natural American Spirit, Newport, Vogue, Viceroy, Kool, Peter Stuyvesant, Craven A, State Express 555 and Shuang Xi brands. It also distributes its products to retail outlets. British American Tobacco p.l.c. was founded in 1902 and is based in London, the United Kingdom.