Analyzing British American Tobacco (NYSE:BTI) & American Heritage International (OTCMKTS:AHII)

American Heritage International (OTCMKTS:AHII) and British American Tobacco (NYSE:BTI) are both consumer goods companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, profitability, dividends, analyst recommendations, earnings, institutional ownership and risk.

Analyst Ratings

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Heritage International	0	0	0	0	0.00
British American Tobacco	1	0	0	1	2.50

British American Tobacco has a consensus target price of $33.00, suggesting a potential downside of 7.87%. Given American Heritage International’s higher probable upside, analysts plainly believe American Heritage International is more favorable than British American Tobacco.

Insider and Institutional Ownership

0.0% of American Heritage International shares are owned by institutional investors. Comparatively, 16.2% of British American Tobacco shares are owned by institutional investors. 36.0% of American Heritage International shares are owned by insiders. Comparatively, 0.0% of British American Tobacco shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares American Heritage International 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
American Heritage International	N/A	N/A	N/A	($0.01)	N/A
British American Tobacco	$26.18 billion	3.02	-$17.87 billion	$4.79	7.48

American Heritage International has higher earnings, but lower revenue than British American Tobacco. American Heritage International is trading at a lower price-to-earnings ratio than British American Tobacco, indicating that it is currently the more affordable of the two stocks.

Profitability

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

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

Summary

British American Tobacco beats American Heritage International on 6 of the 8 factors compared between the two stocks.

About American Heritage International

American Heritage International Inc. manufactures, distributes, and sells premium disposable electronic cigarettes under the American Heritage and America's Original E-Cig brand names. The company was formerly known as Cumberland Hills Ltd. and changed its name to American Heritage International Inc. in August 2013. American Heritage International Inc. was founded in 2010 and is based in Las Vegas, Nevada.

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.