British American Tobacco
Market Cap
UK£66.9b
Last Updated
2019/11/12 20:34 UTC
Data Sources
Company Financials +
Executive Summary
British American Tobacco p.l.c. provides cigarettes and other tobacco products worldwide.
Snowflake
Fundamentals
Established dividend payer and fair value.
Similar Companies
Share Price & News
How has British American Tobacco's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BATS has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
4.9%
BATS
4.3%
GB Tobacco
-0.3%
GB Market
1 Year Return
3.2%
BATS
-6.4%
GB Tobacco
3.9%
GB Market
Return vs Industry: BATS exceeded the UK Tobacco industry which returned -6.4% over the past year.
Return vs Market: BATS matched the UK Market which returned 3.9% over the past year.
Shareholder returns
| BATS | Industry | Market | |
|---|---|---|---|
| 7 Day | 4.9% | 4.3% | -0.3% |
| 30 Day | 8.0% | 5.5% | 1.8% |
| 90 Day | -2.7% | -4.9% | 4.9% |
| 1 Year | 10.9%3.2% | 0.8%-6.4% | 9.3%3.9% |
| 3 Year | -20.6%-31.9% | -24.0%-35.5% | 23.2%7.6% |
| 5 Year | -0.4%-21.0% | -3.8%-24.4% | 34.3%3.8% |
Price Volatility Vs. Market
How volatile is British American Tobacco's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall St
A Spotlight On British American Tobacco p.l.c.'s (LON:BATS) Fundamentals2 months ago | Simply Wall St
What Type Of Shareholder Owns British American Tobacco p.l.c.'s (LON:BATS)?3 months ago | Simply Wall St
With A 9.7% Return On Equity, Is British American Tobacco p.l.c. (LON:BATS) A Quality Stock?Valuation
Is British American Tobacco undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: BATS (£29.28) is trading below our estimate of fair value (£88.08)
Significantly Below Fair Value: BATS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: BATS is poor value based on its PE Ratio (10.9x) compared to the Tobacco industry average (10.7x).
PE vs Market: BATS is good value based on its PE Ratio (10.9x) compared to the UK market (16.9x).
Price to Earnings Growth Ratio
PEG Ratio: BATS is poor value based on its PEG Ratio (1x)
Price to Book Ratio
PB vs Industry: BATS is overvalued based on its PB Ratio (1x) compared to the XE Tobacco industry average (1x).
Next Steps
Future Growth
How is British American Tobacco forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?
10.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BATS's forecast earnings growth (10.6% per year) is above the savings rate (1.2%).
Earnings vs Market: BATS's earnings (10.6% per year) are forecast to grow slower than the UK market (12.6% per year).
High Growth Earnings: BATS's earnings are forecast to grow, but not significantly.
Revenue vs Market: BATS's revenue (4.2% per year) is forecast to grow faster than the UK market (3.8% per year).
High Growth Revenue: BATS's revenue (4.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BATS's Return on Equity is forecast to be low in 3 years time (12.3%).
Next Steps
Past Performance
How has British American Tobacco performed over the past 5 years?
36.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BATS has high quality earnings.
Growing Profit Margin: BATS's current net profit margins (24.6%) are lower than last year (159.4%).
Past Earnings Growth Analysis
Earnings Trend: BATS's earnings have grown significantly by 36.4% per year over the past 5 years.
Accelerating Growth: BATS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: BATS had negative earnings growth (-83.8%) over the past year, making it difficult to compare to the Tobacco industry average (-19.2%).
Return on Equity
High ROE: BATS's Return on Equity (9.7%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is British American Tobacco's financial position?
Financial Position Analysis
Short Term Liabilities: BATS's short term assets (£14.4B) do not cover its short term liabilities (£19.8B)
Long Term Liabilities: BATS's short term assets (14.4B) do not cover its long term liabilities (62.8B)
Debt to Equity History and Analysis
Debt Level: BATS's debt to equity ratio (76.7%) is considered high
Reducing Debt: BATS's debt to equity ratio has reduced from 220.9% to 76.7% over the past 5 years.
Debt Coverage: BATS's debt is not well covered by operating cash flow (17.4%).
Interest Coverage: BATS's interest payments on its debt are well covered by EBIT (6.3x coverage).
Balance Sheet
Inventory Level: BATS has a low level of unsold assets or inventory.
Debt Coverage by Assets: BATS's debt is not covered by short term assets (assets are 0.3x debt).
Next Steps
Dividend
What is British American Tobacco's current dividend yield, its reliability and sustainability?
6.93%
Current Dividend Yield
Upcoming Dividend Payment
Purchase British American Tobacco before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: BATS's dividend (6.93%) is higher than the bottom 25% of dividend payers in the UK market (1.99%).
High Dividend: BATS's dividend (6.93%) is in the top 25% of dividend payers in the UK market (5.3%)
Stability and Growth of Payments
Stable Dividend: BATS's dividend payments have been volatile in the past 10 years.
Growing Dividend: BATS's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (73.9%), BATS's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BATS's dividends in 3 years are forecast to be covered by earnings (64.6% payout ratio).
Next Steps
Management
What is the CEO of British American Tobacco's salary, the management and board of directors tenure and is there insider trading?
5.0yrs
Average management tenure
CEO
Jack Marie Henry Bowles (55yo)
0.6yrs
Tenure
Mr. Jack Marie Henry David Bowles has been Chief Operating Officer for International Business (Excluding US) at British American Tobacco Plc since October 1, 2017 and has been its Member of the Management ...
Management Age and Tenure
5.0yrs
Average Tenure
53yo
Average Age
Experienced Management: BATS's management team is seasoned and experienced (5 years average tenure).
Board Age and Tenure
3.2yrs
Average Tenure
61.5yo
Average Age
Experienced Board: BATS's board of directors are considered experienced (3.2 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Operating Officer Director of Operations & Member of Management Board |
| Shares | 4 |
| Max Price | UK£28.45 |
| Entity | Individual |
| Role | Chief Operating Officer Director of Operations & Member of Management Board |
| Shares | 69 |
| Max Price | UK£31.08 |
| Entity | Individual |
| Role | Chief Operating Officer Director of Operations & Member of Management Board |
| Shares | 640 |
| Max Price | UK£31.27 |
| Entity | Individual |
| Role | Chief Operating Officer Director of Operations & Member of Management Board |
| Shares | 636 |
| Max Price | UK£31.26 |
| Entity | Individual |
| Role | Chief Executive Officer CEO, Member of Management Board & Director |
| Shares | 8 |
| Max Price | UK£31.35 |
| Entity | Individual |
| Role | Member of Management Board Director of New Categories & Member of Management Board |
| Shares | 9 |
| Max Price | UK£31.35 |
| Entity | Individual |
| Role | Member of Management Board Director of Scientific Research & Member of Management Board |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Member of Management Board Chief Marketing Officer & Member of Management Board |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Member of Management Board Director of New Categories & Member of Management Board |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Shares | 99 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Chief Executive Officer CEO, Member of Management Board & Director |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Chief Operating Officer Director of Operations & Member of Management Board |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Member of Management Board Regional Director of Europe & North Africa and Member of Management Board |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Member of the Board of Directors Finance Director |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Member of Management Board Director of Legal & External Affairs |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Member of Management Board Regional Director for Americas & Sub-Saharan Africa and Member of Management Board |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Role | Member of Management Board Member of Management Board and President & CEO of Reynolds American Inc. |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Shares | 112 |
| Max Price | UK£31.94 |
| Entity | Individual |
| Shares | 689 |
| Max Price | UK£28.83 |
| Entity | Individual |
| Role | Chief Operating Officer Director of Operations & Member of Management Board |
| Shares | 4 |
| Max Price | UK£27.26 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Ricardo de Almeida Oberlander (55yo)
Member of Management Board and President & CEO of Reynolds American Inc.
- Tenure: 6.8yrs
Jack Marie Henry Bowles (55yo)
CEO, Member of Management Board & Director
- Tenure: 0.6yrs
Kingsley Wheaton (46yo)
Chief Marketing Officer & Member of Management Board
- Tenure: 7.8yrs
Johan Vandermeulen (51yo)
Regional Director of Europe & North Africa and Member of Management Board
- Tenure: 5.2yrs
Alan Davy (55yo)
Director of Operations & Member of Management Board
- Tenure: 6.7yrs
David O'Reilly (53yo)
Director of Scientific Research & Member of Management Board
- Tenure: 7.8yrs
Tadeu Marroco (53yo)
Finance Director
- Tenure: 0.3yrs
Jerry Abelman (55yo)
Director of Legal & External Affairs
- Tenure: 4.8yrs
Luciano Comin (49yo)
Regional Director for Americas & Sub-Saharan Africa and Member of Management Board
- Tenure: 0.8yrs
Paul Lageweg (49yo)
Director of New Categories & Member of Management Board
- Tenure: 0.8yrs
Board Members
Richard George Burrows (73yo)
Independent Chairman of the Board
- Tenure: 10yrs
- Compensation: UK£796.00k
Holly Koeppel (60yo)
Independent Non-Executive Director
- Tenure: 2.3yrs
- Compensation: UK£211.00k
Luc Jobin (59yo)
Independent Non-Executive Director
- Tenure: 2.3yrs
- Compensation: UK£158.00k
Sue Farr (63yo)
Independent Non-Executive Director
- Tenure: 4.8yrs
- Compensation: UK£119.00k
Kieran Poynter (68yo)
Senior Independent Director
- Tenure: 3.1yrs
- Compensation: UK£179.00k
Jack Marie Henry Bowles (55yo)
CEO, Member of Management Board & Director
- Tenure: 0.6yrs
Marion Helmes (54yo)
Independent Non-Executive Director
- Tenure: 3.3yrs
- Compensation: UK£129.00k
Savio Kwan (71yo)
Independent Non-Executive Director
- Tenure: 5.8yrs
- Compensation: UK£159.00k
Tadeu Marroco (53yo)
Finance Director
- Tenure: 0.3yrs
Dimitri Panayotopoulos (68yo)
Independent Non-Executive Director
- Tenure: 4.8yrs
- Compensation: UK£160.00k
Company Information
British American Tobacco p.l.c.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: British American Tobacco p.l.c.
- Ticker: BATS
- Exchange: LSE
- Founded: 1902
- Industry: Tobacco
- Sector: Food, Beverage & Tobacco
- Market Cap: UK£66.932b
- Shares outstanding: 2.29b
- Website: https://www.bat.com
Number of Employees
Location
- British American Tobacco p.l.c.
- Globe House
- 4 Temple Place
- London
- Greater London
- WC2R 2PG
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| BTAF.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Aug 1998 |
| BATS | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Aug 1998 |
| BMT | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Aug 1998 |
| BMT | XTRA (XETRA Trading Platform) | Yes | Ordinary Shares | DE | EUR | Aug 1998 |
| BTI | JSE (The Johannesburg Securities Exchange) | Yes | Ordinary Shares | ZA | ZAR | Aug 1998 |
| BATSL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Aug 1998 |
| BTI | NYSE (New York Stock Exchange) | LVL II ADR EACH REP 2 ORD GBP0.25(BNY) | US | USD | Sep 1998 | |
| BMTA | DB (Deutsche Boerse AG) | LVL II ADR EACH REP 2 ORD GBP0.25(BNY) | DE | EUR | Sep 1998 |
Biography
British American Tobacco p.l.c. provides cigarettes and other tobacco products worldwide. It manufactures vapour and tobacco heating products; oral tobacco and nicotine products, such as snus, tobacco-free ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/11/12 20:34 |
| End of Day Share Price | 2019/11/12 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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 here.