BTI Stock Analysis: British American Tobacco | NYSE
Tobacco | NYSE, USA | Market Cap: 115.943m USD | 12M Return: 13.8% | US1104481072 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 262M
EPS Trend: -26.3%
Qual. Beats: 0
Rev. Trend: 97.1%
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
British American Tobacco p.l.c. (BTI) is a London-headquartered multinational tobacco company founded in 1902 that sells tobacco and nicotine products across the United States, Europe, Latin America, Canada, Asia-Pacific, the Middle East, Central Asia, the Caucasus, and Africa. Its portfolio spans six product categories: vapour products (Vuse), heated tobacco devices (glo), modern oral nicotine pouches (Velo), combustibles (cigarettes and tobacco sticks), traditional oral products such as snus and moist snuff, and fine cut/roll-your-own tobacco. Its brand lineup includes global names like Dunhill, Kent, Lucky Strike, Pall Mall, Rothmans, Newport, Natural American Spirit, Camel Snus, and Grizzly, alongside regional labels such as Vogue, Viceroy, Kool, Peter Stuyvesant, Craven A, and State Express 555. Distribution is handled through retail outlets worldwide.
As a major player in the global tobacco industry, BAT operates in a sector characterized by high barriers to entry, strong brand loyalty, and heavy excise taxation, and is increasingly diversifying beyond traditional combustibles into reduced-risk nicotine categories such as vapes, heated products, and oral pouches to address declining cigarette volumes in many markets. The company is classified within the Consumer Staples sector and Tobacco sub-industry, reflecting the generally defensive, cash-generative nature of the business model.
- Vuse vape market share gains against Juul and NJOY
- FDA menthol ban threatens Newport cigarette volumes
- Dividend yield above 7% supports income investor demand
| Net Income: 6.47b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA -2.29 > 1.0 |
| NWC/Revenue: -9.10% < 20% (prev -8.29%; Δ -0.82% < -1%) |
| CFO/TA 0.06 > 3% & CFO 6.03b > Net Income 6.47b |
| Net Debt (33.1b) to EBITDA (12.5b): 2.65 < 3 |
| Current Ratio: 0.84 > 1.5 & < 3 |
| Outstanding Shares: last quarter (2.18b) vs 12m ago -2.51% < -2% |
| Gross Margin: 71.82% > 18% (prev 83.38%; Δ -11.57% > 0.5%) |
| Asset Turnover: 23.66% > 50% (prev 23.22%; Δ 0.44% > 0%) |
| Interest Coverage Ratio: 6.10 > 6 (EBIT TTM 10.2b / Interest Expense TTM 1.66b) |
| A: -0.02 (Total Current Assets 11.9b - Total Current Liabilities 14.3b) / Total Assets 108b |
| B: 0.21 (Retained Earnings 22.8b / Total Assets 108b) |
| C: 0.09 (EBIT TTM 10.2b / Avg Total Assets 109b) |
| D: 0.81 (Book Value of Equity 48.4b / Total Liabilities 59.8b) |
| Altman-Z'' = 2.02 = BBB |
| DSRI: 1.09 (Receivables 3.85b/3.48b, Revenue 25.9b/25.6b) |
| GMI: 1.16 (GM 83.38% / 71.82%) |
| AQI: 1.02 (AQ_t 0.85 / AQ_t-1 0.84) |
| SGI: 1.01 (Revenue 25.9b / 25.6b) |
| TATA: 0.00 (NI 6.47b - CFO 6.03b) / TA 108b) |
| Beneish M = -2.78 (Cap -4..+1) = A |
As of October 09, 2026, the stock is trading at USD 55.43 with a total of 3,415,559 shares traded. Over the past week, the price has changed by +5.87%, over one month by +2.11%, over three months by -6.99% and over the past year by +13.76%.
Current recommended Stop Loss: 54.10 (which is 2.4% or 1.3 ATR below the current price).
British American Tobacco has received a consensus analysts rating of 4.71. Therefore, it is recommended to buy BTI.
- StrongBuy: 5
- Buy: 2
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 70.4 | 27.1% |
Market Cap GBP = 87.8b (116b USD * 0.75689 USD.GBP)
P/E Trailing = 13.5768
P/E Forward = 10.7411
P/S = 4.4981
P/B = 1.8586
P/EG = 1.3947
Revenue TTM = 25.9b GBP
EBIT TTM = 10.2b GBP
EBITDA TTM = 12.5b GBP
Long Term Debt = 31.3b GBP (from longTermDebt, last fiscal year)
Short Term Debt = 4.02b GBP (from shortTermDebt, last quarter)
Debt = 35.6b GBP (from shortLongTermDebtTotal, last quarter) + Leases 529.0m
Net Debt = 33.1b GBP (calculated: Debt 35.6b - CCE 2.53b)
Enterprise Value = 121b GBP (87.8b + Debt 35.6b - CCE 2.53b)
Interest Coverage Ratio = 6.10 (Ebit TTM 10.2b / Interest Expense TTM 1.66b)
EV/FCF = 19.97x (Enterprise Value 121b / FCF TTM 6.05b)
FCF Yield = 5.01% (FCF TTM 6.05b / Enterprise Value 121b)
FCF Margin = 23.39% (FCF TTM 6.05b / Revenue TTM 25.9b)
Net Margin = 25.00% (Net Income TTM 6.47b / Revenue TTM 25.9b)
Gross Margin = 71.82% ((Revenue TTM 25.9b - Cost of Revenue TTM 7.29b) / Revenue TTM)
Gross Margin QoQ = 59.07% (prev 83.42%)
Tobins Q-Ratio = 1.11 (Enterprise Value 121b / Total Assets 108b)
Interest Expense / Debt = 4.68% (Interest Expense 1.66b / Debt 35.6b)
Taxrate = 22.89% (1.92b / 8.37b)
NOPAT = 7.83b (EBIT 10.2b * (1 - 22.89%))
Current Ratio = 0.84 (Total Current Assets 11.9b / Total Current Liabilities 14.3b)
Debt / Equity = 0.74 (Debt 35.6b / totalStockholderEquity, last quarter 48.4b)
Debt / EBITDA = 2.65 (Net Debt 33.1b / EBITDA 12.5b)
Debt / FCF = 5.46 (Net Debt 33.1b / FCF TTM 6.05b)
Total Stockholder Equity = 48.2b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.92% (Net Income 6.47b / Total Assets 108b)
RoE = 13.41% (Net Income TTM 6.47b / Total Stockholder Equity 48.2b)
RoCE = 12.77% (EBIT 10.2b / Capital Employed (Equity 48.2b + L.T.Debt 31.3b))
RoIC = 8.09% (NOPAT 7.83b / Invested Capital 96.8b)
WACC = 4.32% (E(87.8b)/V(123b) * Re(4.61%) + D(35.6b)/V(123b) * Rd(4.68%) * (1-Tc(0.23)))
Discount Rate = 4.61% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -94.85 | Cagr: -1.69%
[DCF] Terminal Value 73.10% ; FCFF base≈7.10b ; Y1≈6.23b ; Y5≈5.03b
[DCF] Fair Price = 22.17 (EV 80.7b - Net Debt 33.1b = Equity 47.7b / Shares 2.15b; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: -26.32 | EPS CAGR: -54.01% | SUE: 0.0 | # QB: 0
Revenue Correlation: 97.07 | Revenue CAGR: 34.39% | SUE: N/A | # QB: 0
EPS current Year (2026-12-31): EPS=4.78 | Chg30d=-1.77% | Revisions=+0% | GrowthEPS=-0.6% | GrowthRev=+2.1%
EPS next Year (2027-12-31): EPS=5.24 | Chg30d=-0.06% | Revisions=+0% | GrowthEPS=+9.7% | GrowthRev=+3.6%
[Analyst] Revisions Ratio: +0% (up=2, down=2)