BTI vs. DEO
BTI (British American Tobacco p.l.c.) and DEO (Diageo plc) are both stocks. Both are in the Consumer Defensive sector — BTI in Tobacco, DEO in Beverages - Wineries & Distilleries. Over the past 10 years, BTI returned 7.69%/yr vs 0.50%/yr for DEO. At a 0.39 correlation, their price movements are largely independent.
Performance
BTI vs. DEO - Performance Comparison
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Returns By Period
In the year-to-date period, BTI achieves a 11.67% return, which is significantly higher than DEO's -4.24% return. Over the past 10 years, BTI has outperformed DEO with an annualized return of 7.69%, while DEO has yielded a comparatively lower 0.50% annualized return.
BTI
- 1D
- 1.51%
- 1M
- -4.26%
- YTD
- 11.67%
- 6M
- 12.20%
- 1Y
- 35.30%
- 3Y*
- 34.54%
- 5Y*
- 17.96%
- 10Y*
- 7.69%
DEO
- 1D
- 0.83%
- 1M
- 0.12%
- YTD
- -4.24%
- 6M
- -7.27%
- 1Y
- -19.48%
- 3Y*
- -19.42%
- 5Y*
- -13.55%
- 10Y*
- 0.50%
BTI vs. DEO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
BTI British American Tobacco p.l.c. | 11.67% | 65.81% | 35.44% | -19.97% | 14.91% | 7.95% | -4.73% | 42.97% | -49.35% | 24.40% |
DEO Diageo plc | -4.24% | -29.31% | -10.09% | -16.28% | -17.40% | 41.72% | -3.26% | 21.39% | -0.43% | 44.13% |
Correlation
The correlation between BTI and DEO is 0.19, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.19 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.27 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.32 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.38 |
Correlation (All Time) Calculated using the full available price history since May 13, 1996 | 0.39 |
Over the past year, the correlation between BTI and DEO has dropped to 0.19 - well below their long-term average of 0.39, suggesting their price drivers have been diverging.
Fundamentals
BTI:
$136.67B
DEO:
$45.62B
BTI:
£4.93
DEO:
£9.85
BTI:
9.44
DEO:
6.19
BTI:
0.35
DEO:
1.78
BTI:
1.99
DEO:
0.91
BTI:
2.13
DEO:
3.95
BTI:
£51.48B
DEO:
£37.37B
BTI:
£42.82B
DEO:
£22.42B
BTI:
£20.34B
DEO:
£10.72B
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Return for Risk
BTI vs. DEO — Risk / Return Rank
BTI
DEO
BTI vs. DEO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for British American Tobacco p.l.c. (BTI) and Diageo plc (DEO). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| BTI | DEO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +2.24 | ||
| Sortino ratioReturn per unit of downside risk | +2.96 | ||
| Omega ratioGain probability vs. loss probability | 1.26 | 0.90 | +0.36 |
| Calmar ratioReturn relative to maximum drawdown | 2.62 | -0.59 | +3.21 |
| Martin ratioReturn relative to average drawdown | 5.89 | -1.05 | +6.95 |
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Drawdowns
BTI vs. DEO - Drawdown Comparison
The maximum BTI drawdown since its inception was -64.11%, roughly equal to the maximum DEO drawdown of -63.41%. Use the drawdown chart below to compare losses from any high point for BTI and DEO.
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Drawdown Indicators
| BTI | DEO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -64.11% | -63.41% | -0.70% |
Max Drawdown (1Y)Largest decline over 1 year | -13.75% | -35.52% | +21.77% |
Max Drawdown (3Y)Largest decline over 3 years | -13.75% | -56.07% | +42.32% |
Max Drawdown (5Y)Largest decline over 5 years | -29.94% | -63.41% | +33.47% |
Max Drawdown (10Y)Largest decline over 10 years | -56.00% | -63.41% | +7.41% |
Current DrawdownCurrent decline from peak | -6.57% | -58.28% | +51.71% |
Average DrawdownAverage peak-to-trough decline | -12.93% | -13.02% | +0.09% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 6.10% | 19.98% | -13.88% |
Volatility
BTI vs. DEO - Volatility Comparison
British American Tobacco p.l.c. (BTI) has a higher volatility of 7.53% compared to Diageo plc (DEO) at 6.98%. This indicates that BTI's price experiences larger fluctuations and is considered to be riskier than DEO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| BTI | DEO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 7.53% | 6.98% | +0.55% |
Volatility (6M)Calculated over the trailing 6-month period | 18.39% | 26.52% | -8.13% |
Volatility (1Y)Calculated over the trailing 1-year period | 22.78% | 32.17% | -9.39% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 21.16% | 24.74% | -3.58% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 24.20% | 23.39% | +0.81% |
Dividends
BTI vs. DEO - Dividend Comparison
BTI's dividend yield for the trailing twelve months is around 4.95%, more than DEO's 4.06% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
BTI British American Tobacco p.l.c. | 4.95% | 5.29% | 8.18% | 9.72% | 7.23% | 7.98% | 7.22% | 6.35% | 8.53% | 4.27% | 3.85% | 4.11% |
DEO Diageo plc | 4.06% | 4.80% | 3.26% | 2.77% | 2.16% | 1.82% | 2.29% | 2.07% | 2.51% | 2.18% | 3.00% | 3.13% |
Financials
BTI vs. DEO - Financials Comparison
This section allows you to compare key financial metrics between British American Tobacco p.l.c. and Diageo plc. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
BTI vs. DEO - Profitability Comparison
BTI - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, British American Tobacco p.l.c. reported a gross profit of 11.30B and revenue of 13.54B. Therefore, the gross margin over that period was 83.4%.
DEO - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Diageo plc reported a gross profit of 4.72B and revenue of 7.73B. Therefore, the gross margin over that period was 61.0%.
BTI - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, British American Tobacco p.l.c. reported an operating income of 4.93B and revenue of 13.54B, resulting in an operating margin of 36.4%.
DEO - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Diageo plc reported an operating income of 2.41B and revenue of 7.73B, resulting in an operating margin of 31.1%.
BTI - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, British American Tobacco p.l.c. reported a net income of 3.25B and revenue of 13.54B, resulting in a net margin of 24.0%.
DEO - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Diageo plc reported a net income of 1.48B and revenue of 7.73B, resulting in a net margin of 19.1%.
Frequently Asked Questions
BTI and DEO have a correlation of 0.19, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
BTI has higher volatility (7.53%) compared to DEO (6.98%). In terms of maximum drawdown, BTI dropped -64.11% vs DEO's -63.41%.
BTI currently has the higher Sharpe Ratio (1.58 vs -0.66), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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