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Update shared on12 Sep 2025

Fair value Increased 3.33%
AnalystConsensusTarget's Fair Value
UK£42.67
7.7% undervalued intrinsic discount
12 Sep
UK£39.40
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1Y
42.0%
7D
-2.3%

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.
  • BAT is awaiting RBI approval to sell its 15.29% stake in ITC Hotels, planning to use proceeds to further deleverage.
  • The company affirmed FY2025 earnings guidance, expecting revenue growth at the top end of its 1.0%-2.0% range, with mid-single digit growth in New Category revenues.
  • BAT completed the repurchase of 1.87% of its shares (£1,148 million) under the current buyback program.

Valuation Changes


Summary of Valuation Changes for British American Tobacco

  • The Consensus Analyst Price Target has risen slightly from £41.29 to £42.67.
  • The Future P/E for British American Tobacco has risen slightly from 13.70x to 14.14x.
  • The Discount Rate for British American Tobacco remained effectively unchanged, moving only marginally from 8.27% to 8.39%.

Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.