It is the latest in a string of actions calling the US president a mass killer, The Guardian reports.
Dmitry Gudkov, the sole liberal opposition MP in Russia's parliament, posted a photo of the advert on Facebook.
The ad is a large poster in a metal-and-glass frame at a bus shelter on Moscow's third ring road.
Анекдоты с бородой — в жизнь.
«У нас в СССР — свобода слова! Я тоже могу выйти на Красную площадь и сколько угодно ругат...
Posted by Dmitry Gudkov on Tuesday, February 16, 2016
It has an illustration of President Obama smoking a cigarette with the words: "Smoking kills more people than Obama, although he kills lots and lots of people," written in Russian.
"Don't smoke, dont be like Obama," it reads.
Gudkov's posted the photo alongside comments that it was "disgusting and embarrassing that this is appearing on the streets of the Russian capital."
The post has at least 1900 likes and has been shared over 300 times.
No author has come forward to claim the ad and it has no attribution.
Some have taken the ad as a reference to a Russian "Stop Obama!" video posted last week that claims the "president of the United States kills 875 people every week".
The video was posted a day after Russian students made a video appeal to the United Nations, saying Obama should be "punished for thousands of lost lives".
Earlier this month, a video was broadcast on buildings in Moscow which called for Obama to be judged by a Hague war crimes tribunal.
In January, a banner of Obama's 2008 election poster was hung from a building across from the US embassy in Moscow, which had the word "hope" replaced with "killer".
