(BTI) British American Tobacco - Overview
Sector: Consumer Defensive | Industry: Tobacco | Exchange: NYSE (USA) | Market Cap: 138.452m USD | Total Return: 34% in 12m
Avg Turnover: 235M
EPS Trend: -26.3%
Qual. Beats: 0
Rev. Trend: 97.1%
Warnings
Below Avwap Earnings
Tailwinds
No distinct edge detected
British American Tobacco p.l.c. (BTI) is a global consumer goods company specializing in the manufacture and distribution of tobacco and nicotine products. Its portfolio includes traditional combustible cigarettes, fine-cut tobacco, and New Category segments such as vapor, heated tobacco, and modern oral nicotine pouches. The company operates an extensive distribution network reaching retail outlets across six continents.
The tobacco industry is currently characterized by a structural shift as major players transition from legacy combustibles to reduced-risk alternatives to offset declining cigarette volumes in developed markets. BTI utilizes a multi-category business model, leveraging established global brands like Dunhill, Lucky Strike, and Vuse to maintain market share across different consumer price points and regulatory environments.
For a deeper look into the companys financial health and valuation metrics, consider exploring the data available on ValueRay. British American Tobacco remains headquartered in London and has maintained its operations since 1902.
- Accelerated transition to non-combustible products offsets declining traditional cigarette volumes
- FDA regulatory scrutiny of vapor and menthol products impacts US revenue
- High dividend yield and share buybacks drive total shareholder returns
- Significant debt reduction targets influence credit ratings and capital allocation
- Emerging market volume growth compensates for developed market regulatory pressures
| Net Income: 10.8b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA 1.12 > 1.0 |
| NWC/Revenue: -3.57% < 20% (prev -5.30%; Δ 1.73% < -1%) |
| CFO/TA 0.11 > 3% & CFO 12.4b > Net Income 10.8b |
| Net Debt (31.8b) to EBITDA (20.3b): 1.56 < 3 |
| Current Ratio: 0.87 > 1.5 & < 3 |
| Outstanding Shares: last fiscal year (2.20b) vs prev -1.17% < -2% |
| Gross Margin: 83.17% > 18% (prev 82.07%; Δ 1.10% > 0.5%) |
| Asset Turnover: 45.03% > 50% (prev 34.28%; Δ 10.74% > 0%) |
| Interest Coverage Ratio: 8.33 > 6 (EBIT TTM 15.2b / Interest Expense TTM 1.82b) |
| A: -0.02 (Total Current Assets 12.7b - Total Current Liabilities 14.5b) / Total Assets 109b |
| B: 0.21 (Retained Earnings 22.9b / Total Assets 109b) |
| C: 0.13 (EBIT TTM 15.2b / Avg Total Assets 114b) |
| D: 0.78 (Book Value of Equity 47.9b / Total Liabilities 61.1b) |
| Altman-Z'' = 2.29 = BBB |
| DSRI: 0.83 (Receivables 3.80b/3.64b, Revenue 51.5b/40.9b) |
| GMI: 0.99 (GM 82.07% / 83.17%) |
| AQI: 1.02 (AQ_t 0.84 / AQ_t-1 0.83) |
| SGI: 1.26 (Revenue 51.5b / 40.9b) |
| TATA: -0.01 (NI 10.8b - CFO 12.4b) / TA 109b) |
| Beneish M = -2.98 (Cap -4..+1) = A |
As of June 04, 2026, the stock is trading at USD 58.62 with a total of 4,310,507 shares traded.
Over the past week, the price has changed by -8.46%,
over one month by +0.46%,
over three months by -1.55% and
over the past year by +34.02%.
British American Tobacco has received a consensus analysts rating of 3.40. Therefore, it is recommended to hold BTI.
- StrongBuy: 1
- Buy: 2
- Hold: 1
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 67.2 | 14.7% |
Market Cap GBP = 103b (138b USD * 0.7444 USD.GBP)
P/E Trailing = 13.5966
P/E Forward = 13.0378
P/S = 5.4062
P/B = 2.1412
P/EG = 1.6444
Revenue TTM = 51.5b GBP
EBIT TTM = 15.2b GBP
EBITDA TTM = 20.3b GBP
Long Term Debt = 31.3b GBP (from longTermDebt, last quarter)
Short Term Debt = 3.36b GBP (from shortTermDebt, last quarter)
Debt = 35.6b GBP (from shortLongTermDebtTotal, last quarter) + Leases 529.0m
Net Debt = 31.8b GBP (calculated: Debt 35.6b - CCE 3.84b)
Enterprise Value = 135b GBP (103b + Debt 35.6b - CCE 3.84b)
Interest Coverage Ratio = 8.33 (Ebit TTM 15.2b / Interest Expense TTM 1.82b)
EV/FCF = 8.81x (Enterprise Value 135b / FCF TTM 15.3b)
FCF Yield = 11.35% (FCF TTM 15.3b / Enterprise Value 135b)
FCF Margin = 29.74% (FCF TTM 15.3b / Revenue TTM 51.5b)
Net Margin = 21.04% (Net Income TTM 10.8b / Revenue TTM 51.5b)
Gross Margin = 83.17% ((Revenue TTM 51.5b - Cost of Revenue TTM 8.66b) / Revenue TTM)
Gross Margin QoQ = 83.42% (prev 83.59%)
Tobins Q-Ratio = 1.23 (Enterprise Value 135b / Total Assets 109b)
Interest Expense / Debt = 5.11% (Interest Expense 1.82b / Debt 35.6b)
Taxrate = 18.30% (2.45b / 13.4b)
NOPAT = 12.4b (EBIT 15.2b * (1 - 18.30%))
Current Ratio = 0.87 (Total Current Assets 12.7b / Total Current Liabilities 14.5b)
Debt / Equity = 0.74 (Debt 35.6b / totalStockholderEquity, last quarter 47.9b)
Debt / EBITDA = 1.56 (Net Debt 31.8b / EBITDA 20.3b)
Debt / FCF = 2.07 (Net Debt 31.8b / FCF TTM 15.3b)
Total Stockholder Equity = 49.6b (last 4 quarters mean from totalStockholderEquity)
RoA = 9.47% (Net Income 10.8b / Total Assets 109b)
RoE = 21.82% (Net Income TTM 10.8b / Total Stockholder Equity 49.6b)
RoCE = 18.72% (EBIT 15.2b / Capital Employed (Equity 49.6b + L.T.Debt 31.3b))
RoIC = 12.96% (NOPAT 12.4b / Invested Capital 95.6b)
WACC = 5.17% (E(103b)/V(139b) * Re(5.51%) + D(35.6b)/V(139b) * Rd(5.11%) * (1-Tc(0.18)))
Discount Rate = 5.51% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -79.57 | Cagr: -1.35%
[DCF] Terminal Value 75.38% ; FCFF base≈15.3b ; Y1≈15.3b ; Y5≈16.1b
[DCF] Fair Price = 101.4 (EV 251b - Net Debt 31.8b = Equity 219b / Shares 2.16b; r=8.35% [WACC [floored]]; 5y FCF grow -0.47% → 2.50% )
EPS Correlation: -26.32 | EPS CAGR: -54.01% | SUE: 0.0 | # QB: 0
Revenue Correlation: 97.05 | Revenue CAGR: 34.37% | SUE: N/A | # QB: 0
EPS current Year (2026-12-31): EPS=4.90 | Chg30d=+0.22% | Revisions=+0% | GrowthEPS=+2.0% | GrowthRev=+2.8%
EPS next Year (2027-12-31): EPS=5.32 | Chg30d=+0.53% | Revisions=+0% | GrowthEPS=+8.6% | GrowthRev=+3.5%
[Analyst] Revisions Ratio: +0%