Altria Group (NYSE:MO) versus Electronic Cigarettes International Group (OTCMKTS:ECIG) Critical Review

Altria Group (NYSE:MO) and Electronic Cigarettes International Group (OTCMKTS:ECIG) are both consumer staples companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, profitability, risk, earnings, valuation and institutional ownership.

Valuation & Earnings

This table compares Altria Group and Electronic Cigarettes International Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Altria Group	$24.02 billion	4.05	$11.26 billion	$5.24	11.07
Electronic Cigarettes International Group	N/A	N/A	N/A	N/A	N/A

Altria Group has higher revenue and earnings than Electronic Cigarettes International Group.

Analyst Ratings

This is a summary of recent ratings for Altria Group and Electronic Cigarettes International Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Altria Group	2	5	4	0	2.18
Electronic Cigarettes International Group	0	0	0	0	0.00

Altria Group currently has a consensus price target of $62.33, suggesting a potential upside of 7.47%. Given Altria Group’s stronger consensus rating and higher possible upside, equities analysts clearly believe Altria Group is more favorable than Electronic Cigarettes International Group.

Profitability

This table compares Altria Group and Electronic Cigarettes International Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Altria Group	37.89%	-319.43%	26.45%
Electronic Cigarettes International Group	N/A	N/A	N/A

Insider and Institutional Ownership

57.4% of Altria Group shares are owned by institutional investors. 0.1% of Altria Group shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Altria Group beats Electronic Cigarettes International Group on 8 of the 9 factors compared between the two stocks.

About Altria Group

Altria Group, Inc., through its subsidiaries, manufactures and sells smokeable and oral tobacco products in the United States. The company offers cigarettes primarily under the Marlboro brand; large cigars and pipe tobacco under the Black & Mild brand; moist smokeless tobacco and snus products under the Copenhagen, Skoal, Red Seal, and Husky brands; oral nicotine pouches under the on! brand; and e-vapor products under the NJOY ACE brand. It sells its products to distributors, as well as large retail organizations, such as chain stores. The company was founded in 1822 and is headquartered in Richmond, Virginia.

About Electronic Cigarettes International Group

Electronic Cigarettes International Group Ltd. engages in the marketing and distribution of vaping products and electronic cigarettes. Its brand portfolio include VAPESTICK, FIN, Victory, GreenStix, VIP, E-CIG, and Pro Vapor. The company was founded by Marc Hardgrove on May 19, 2004 and is headquartered in Golden, CO.