British American Tobacco (BATS) Stock Overview
Provides tobacco and nicotine products to consumers in the United States, Europe, Latin America, Canada, the Asia-Pacific, the Middle East, Central Asia, Caucasus, and Africa. More details
| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 1/6 |
| Past Performance | 4/6 |
| Financial Health | 1/6 |
| Dividends | 4/6 |
Rewards
Risk Analysis
BATS Community Fair Values
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Analyst Price Targets
Top Community Narratives
UK£59.46
FV
28.2% undervalued intrinsic discount2.4k
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British American Tobacco p.l.c. Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | UK£42.67 |
| 52 Week High | UK£48.77 |
| 52 Week Low | UK£30.13 |
| Beta | 0.12 |
| 1 Month Change | -3.55% |
| 3 Month Change | -7.42% |
| 1 Year Change | 36.11% |
| 3 Year Change | 57.51% |
| 5 Year Change | 50.94% |
| Change since IPO | 922.04% |
Recent News & Updates
Narrative Update • May 02
BATS: Lower Earnings Quality And 2026 Guidance Will Restrict Future Upside
Analysts have raised their fair value estimate for British American Tobacco from £33.35 to £39.19, citing updated assumptions for revenue growth, profit margins and a higher future P/E multiple. What's in the News British American Tobacco reaffirmed full year 2026 earnings guidance, indicating performance at the lower end of constant currency revenue growth of 3% to 5% (company guidance).
Narrative Update • Apr 18
BATS: Future Returns Will Reflect Dividend Dependability And Strengthened Leadership Outlook
Analysts have nudged their price target for British American Tobacco up slightly to £46.21 from £45.85, reflecting updated assumptions around discount rates, revenue growth, profit margins and future P/E multiples. What's in the News British American Tobacco appointed Dragos Constantinescu as Chief Financial Officer, effective 1 September 2026, with Javed Iqbal to continue as Interim CFO until then and thereafter remain Director, Digital & Information (company announcement).Recent updates
Narrative Update • May 02
BATS: Lower Earnings Quality And 2026 Guidance Will Restrict Future Upside
Analysts have raised their fair value estimate for British American Tobacco from £33.35 to £39.19, citing updated assumptions for revenue growth, profit margins and a higher future P/E multiple. What's in the News British American Tobacco reaffirmed full year 2026 earnings guidance, indicating performance at the lower end of constant currency revenue growth of 3% to 5% (company guidance).Narrative Update • Apr 18
BATS: Future Returns Will Reflect Dividend Dependability And Strengthened Leadership Outlook
Analysts have nudged their price target for British American Tobacco up slightly to £46.21 from £45.85, reflecting updated assumptions around discount rates, revenue growth, profit margins and future P/E multiples. What's in the News British American Tobacco appointed Dragos Constantinescu as Chief Financial Officer, effective 1 September 2026, with Javed Iqbal to continue as Interim CFO until then and thereafter remain Director, Digital & Information (company announcement).
Narrative Update • Apr 04
BATS: Dividend Stability And 2026 Guidance Will Support Share Repricing
Analysts are keeping their £52.00 price target for British American Tobacco unchanged, citing slightly higher discount rate and revenue growth assumptions, alongside a modestly lower profit margin and a small uplift in the projected future P/E multiple as offsetting factors. What's in the News Company reaffirms full year 2026 earnings guidance, pointing to revenue growth at the lower end of a 3% to 5% constant currency range, in line with guidance first announced on 12 February 2026 (company guidance).Narrative Update • Mar 21
BATS: Future Returns Will Reflect Dividend Dependability And Measured Revenue Outlook
Analysts have made a small upward adjustment to their British American Tobacco price target to reflect modest tweaks to assumptions on fair value, discount rate, revenue growth, profit margin and future P/E, lifting the target from about £45.81 to roughly £45.85. What's in the News Reaffirmed full year 2026 earnings guidance, with constant currency revenue growth targeted at the lower end of a 3% to 5% range (company guidance).Narrative Update • Mar 07
BATS: Lower Earnings Quality And Guidance Will Constrain Future Upside
Analysts have nudged their implied fair value for British American Tobacco slightly higher to about £33.35 from roughly £33.22, reflecting updated assumptions around the discount rate, revenue growth, profit margin and future P/E expectations. What's in the News Reaffirmed full year 2026 earnings guidance with revenue growth targeted in a 3% to 5% constant currency range, with expectations at the lower end of that band (company guidance).Narrative Update • Feb 21
BATS: Future Returns Will Reflect ITC Stake Sale And Measured Revenue Outlook
Analysts now set their fair value estimate for British American Tobacco at £45.81, compared with £45.19 previously. This reflects updated assumptions around discount rates, revenue growth, profit margins and future P/E.Analysis Article • Feb 15
British American Tobacco p.l.c. (LON:BATS) Annual Results: Here's What Analysts Are Forecasting For This Year
British American Tobacco p.l.c. ( LON:BATS ) shareholders are probably feeling a little disappointed, since its shares...Narrative Update • Feb 06
BATS: ITC Stake Sale And Leverage Goals Will Limit Future Upside
Analysts have lifted their fair value estimate for British American Tobacco from £30.00 to about £33.22, citing updated assumptions around revenue growth, profit margins and future P/E expectations. What's in the News Company issues earnings guidance for 2025, indicating around 2% Group revenue growth at constant rates and mid single digit growth in New Category revenue at constant rates.Narrative Update • Jan 23
BATS: Future Returns Will Balance ITC Stake Deleveraging And Modest Revenue Outlook
Analysts have inched up their fair value estimate for British American Tobacco to £45.19 from £44.88, reflecting small adjustments to discount rate assumptions, slightly different revenue growth expectations, a marginally lower profit margin input, and a modestly higher future P/E multiple. What's in the News Issued earnings guidance for 2025, with the company expecting around 2% Group revenue growth at constant rates and mid single digit revenue growth from New Categories at constant rates (Corporate guidance).Analysis Article • Jan 11
There's Reason For Concern Over British American Tobacco p.l.c.'s (LON:BATS) Price
When close to half the companies in the Tobacco industry in the United Kingdom have price-to-sales ratios (or "P/S...Narrative Update • Jan 09
BATS: Future Returns Will Reflect Deleveraging From ITC Stake Sale Proceeds
Analysts have trimmed their price target on British American Tobacco to £44.88, reflecting slightly higher discount rate assumptions and a marginally adjusted future P/E expectation, while keeping fair value broadly in line with prior estimates. What's in the News British American Tobacco issued earnings guidance for 2025, indicating around 2% Group revenue growth at constant rates and mid single digit New Category revenue growth at constant rates.Narrative Update • Dec 25
BATS: Future Returns Will Reflect Gradual Expansion And Ongoing Deleveraging Efforts
Analysts have raised their price target on British American Tobacco slightly to approximately 44.88 dollars from 44.71 dollars, citing a modestly higher expected profit margin and valuation multiple that more than offset a small downgrade to long term revenue growth assumptions and a marginally higher discount rate. What's in the News Issued new 2025 guidance, targeting around 2% Group revenue growth at constant rates and mid single digit revenue growth in New Categories, signaling modest near term expansion.Narrative Update • Dec 11
BATS: Future Returns Will Reflect Smoke-Free Shift And Deleveraging Focus
Analysts have raised their price target for British American Tobacco by approximately $1.08, citing modest improvements in projected revenue growth, profit margins, and future valuation multiples that collectively support a slightly higher fair value estimate. What's in the News Issued 2025 guidance for around 2% group revenue growth at constant rates, with mid single digit revenue growth expected from New Category products, signaling modest acceleration in smoke-free offerings (company guidance).Narrative Update • Nov 27
BATS: Future Returns Will Reflect Balanced Profitability And Margin Expectations
British American Tobacco's analyst price target has been modestly raised from $42.67 to $43.63. Analysts cite a slight adjustment in discount rate and profitability expectations despite updated projections for revenue growth and profit margins.Analysis Article • Nov 20
British American Tobacco (LON:BATS) Seems To Use Debt Quite Sensibly
The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...Analysis Article • Oct 10
There's Been No Shortage Of Growth Recently For British American Tobacco's (LON:BATS) Returns On Capital
If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Typically, we'll...Narrative Update • Sep 12
Emerging Markets And Digital Transformation Will Enable Long-Term Stability
The consensus analyst price target for British American Tobacco has increased, primarily reflecting a modest rise in its future P/E multiple, with fair value now assessed at £42.67. What's in the News CFO Soraya Benchikh is stepping down; Javed Iqbal appointed interim CFO while a permanent successor is sought.Analysis Article • Sep 08
British American Tobacco p.l.c.'s (LON:BATS) Intrinsic Value Is Potentially 45% Above Its Share Price
Key Insights British American Tobacco's estimated fair value is UK£60.12 based on 2 Stage Free Cash Flow to Equity...Narrative Update • Aug 07
Emerging Markets And Digital Transformation Will Enable Long-Term Stability
British American Tobacco’s consensus price target and future P/E both saw negligible changes, reflecting market stability in valuation expectations, with fair value ticking up slightly from £40.33 to £40.67. What's in the News Completed repurchase of 41,467,587 shares (1.87%) for £1,148 million under ongoing buyback program; latest tranche: 14,075,158 shares for £450 million.Analysis Article • Aug 07
British American Tobacco's (LON:BATS) Solid Earnings Have Been Accounted For Conservatively
British American Tobacco p.l.c. ( LON:BATS ) announced a healthy earnings result recently, and the market rewarded it...Analysis Article • Jul 14
British American Tobacco p.l.c.'s (LON:BATS) Price Is Out Of Tune With Revenues
British American Tobacco p.l.c.'s ( LON:BATS ) price-to-sales (or "P/S") ratio of 3.2x may not look like an appealing...Analysis Article • May 20
Returns On Capital At British American Tobacco (LON:BATS) Have Stalled
If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...
New Narrative • Feb 23
Investments In Glo Hyper Pro And Velo+ Will Strengthen Future Portfolio
New Categories expansion and investments in innovation aim to drive future revenue growth and diversify the company's portfolio.New Narrative • Sep 25
British American Tobacco: Navigating a Complex Transition That Warrants a High Fair Value
Three Years Into The Future : GPB 45.77Shareholder Returns
| BATS | GB Tobacco | GB Market | |
|---|---|---|---|
| 7D | -1.4% | -1.7% | -0.8% |
| 1Y | 36.1% | 23.6% | 19.7% |
Return vs Industry: BATS exceeded the UK Tobacco industry which returned 23.6% over the past year.
Return vs Market: BATS exceeded the UK Market which returned 19.7% over the past year.
Price Volatility
| BATS volatility | |
|---|---|
| BATS Average Weekly Movement | 3.7% |
| Tobacco Industry Average Movement | 3.4% |
| Market Average Movement | 5.6% |
| 10% most volatile stocks in GB Market | 11.6% |
| 10% least volatile stocks in GB Market | 3.1% |
Stable Share Price: BATS has not had significant price volatility in the past 3 months compared to the UK market.
Volatility Over Time: BATS's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1902 | 47,797 | Tadeu Marroco | www.bat.com |
British American Tobacco p.l.c. provides tobacco and nicotine products to consumers in the United States, Europe, Latin America, Canada, the Asia-Pacific, the Middle East, Central Asia, Caucasus, and Africa. The company offers vapour products; heated products, which consists of a battery-powered device and a plant-based substance consumable that is heated; modern oral products, such as nicotine pouches; combustibles, including cigarette sticks and other tobacco stick products; traditional oral products, such as snus and moist snuff; and fine cut/roll-your-own tobacco products. It sells its products under the Vuse, glo, Velo, Grizzly, Kodiak, Dunhill, Kent, Lucky Strike, Pall Mall, Rothmans, Newport, Natural American Spirit, and Camel Snus brands, as well as Vogue, Viceroy, Kool, Peter Stuyvesant, Craven A, and State Express 555 brands.
British American Tobacco p.l.c. Fundamentals Summary
| BATS fundamental statistics | |
|---|---|
| Market cap | UK£92.73b |
| Earnings (TTM) | UK£7.68b |
| Revenue (TTM) | UK£25.61b |
12.0x
P/E Ratio3.6x
P/S RatioIs BATS overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| BATS income statement (TTM) | |
|---|---|
| Revenue | UK£25.61b |
| Cost of Revenue | UK£4.44b |
| Gross Profit | UK£21.17b |
| Other Expenses | UK£13.49b |
| Earnings | UK£7.68b |
Last Reported Earnings
Dec 31, 2025
Next Earnings Date
Jul 30, 2026
| Earnings per share (EPS) | 3.55 |
| Gross Margin | 82.65% |
| Net Profit Margin | 29.98% |
| Debt/Equity Ratio | 71.7% |
How did BATS perform over the long term?
See historical performance and comparisonDividends
5.7%
Current Dividend Yield70%
Payout RatioDoes BATS pay a reliable dividends?
See BATS dividend history and benchmarks| British American Tobacco dividend dates | |
|---|---|
| Ex Dividend Date | Jul 09 2026 |
| Dividend Pay Date | Aug 14 2026 |
| Days until Ex dividend | 60 days |
| Days until Dividend pay date | 96 days |
Does BATS pay a reliable dividends?
See BATS dividend history and benchmarksCompany Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/05/08 16:11 |
| End of Day Share Price | 2026/05/08 00:00 |
| Earnings | 2025/12/31 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
Learn about the world class team who designed and built the Simply Wall St analysis model.
Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
British American Tobacco p.l.c. is covered by 30 analysts. 13 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| David Coleman | Argus Research Company |
| Michael Steere | Avior Capital Markets |
| Pallav Mittal | Barclays |