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BAT

British American Tobacco KenyaNASE:BAT Stock Report

Market Cap

KSh43.0b

7D

-3.4%

1Y

22.9%

Updated

19 Oct, 2021

Data

Company Financials +
BAT fundamental analysis
Snowflake Score
Valuation1/6
Future Growth1/6
Past Performance6/6
Financial Health6/6
Dividends4/6

BAT Overview

British American Tobacco Kenya plc manufactures and sells cigarettes and tobacco in Kenya and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for British American Tobacco Kenya
Historical stock prices
Current Share PriceKSh430.00
52 Week HighKSh336.00
52 Week LowKSh500.00
Beta0.24
1 Month Change-4.44%
3 Month Change-3.37%
1 Year Change22.86%
3 Year Change-25.86%
5 Year Change-49.71%
Change since IPO659.38%

Recent News & Updates

Shareholder Returns

BATKE TobaccoKE Market
7D-3.4%-1.7%0.1%
1Y22.9%2.9%28.3%

Return vs Industry: BAT exceeded the KE Tobacco industry which returned 2.9% over the past year.

Return vs Market: BAT underperformed the KE Market which returned 29.7% over the past year.

Price Volatility

Is BAT's price volatile compared to industry and market?
BAT volatility
BAT Beta0.24
Industry Beta0.63
Market Beta1

Stable Share Price: BAT is less volatile than 75% of KE stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: BAT's weekly volatility (2%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19071,800Crispin Acholahttps://www.batkenya.com

British American Tobacco Kenya plc manufactures and sells cigarettes and tobacco in Kenya and internationally. The company offers its products primarily under the Dunhill, Rothmans, Embassy, Sportsman, SM, Pall Mall, and Safari brand names. The company was formerly known as BAT Kenya Limited and changed its name to British American Tobacco Kenya plc in 1998.

British American Tobacco Kenya Fundamentals Summary

How do British American Tobacco Kenya's earnings and revenue compare to its market cap?
BAT fundamental statistics
Market CapKSh43.00b
Earnings (TTM)KSh5.54b
Revenue (TTM)KSh27.34b

7.8x

P/E Ratio

1.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BAT income statement (TTM)
RevenueKSh27.34b
Cost of RevenueKSh16.13b
Gross ProfitKSh11.21b
ExpensesKSh5.67b
EarningsKSh5.54b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)55.36
Gross Margin41.00%
Net Profit Margin20.25%
Debt/Equity Ratio0.0%

How did BAT perform over the long term?

See historical performance and comparison

Dividends

10.5%

Current Dividend Yield

81%

Payout Ratio

Valuation

Is British American Tobacco Kenya undervalued compared to its fair value and its price relative to the market?

7.77x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BAT (KES430) is trading above our estimate of fair value (KES252.57)

Significantly Below Fair Value: BAT is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BAT is good value based on its PE Ratio (7.8x) compared to the Global Tobacco industry average (15.5x).

PE vs Market: BAT is poor value based on its PE Ratio (7.8x) compared to the KE market (6.6x).


Price to Earnings Growth Ratio

PEG Ratio: BAT's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: BAT's PB Ratio (4.1x) is in line with the XF Tobacco industry average.


Future Growth

How is British American Tobacco Kenya forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-3.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BAT's earnings are forecast to decline over the next 3 years (-3.1% per year).

Earnings vs Market: BAT's earnings are forecast to decline over the next 3 years (-3.1% per year).

High Growth Earnings: BAT's earnings are forecast to decline over the next 3 years.

Revenue vs Market: BAT's revenue is expected to decline over the next 3 years (-1.3% per year).

High Growth Revenue: BAT's revenue is forecast to decline over the next 3 years (-1.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BAT's Return on Equity is forecast to be high in 3 years time (39.9%)


Past Performance

How has British American Tobacco Kenya performed over the past 5 years?

8.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BAT has high quality earnings.

Growing Profit Margin: BAT's current net profit margins (20.2%) are higher than last year (17.3%).


Past Earnings Growth Analysis

Earnings Trend: BAT's earnings have grown by 8.1% per year over the past 5 years.

Accelerating Growth: BAT's earnings growth over the past year (37.2%) exceeds its 5-year average (8.1% per year).

Earnings vs Industry: BAT earnings growth over the past year (37.2%) exceeded the Tobacco industry 10.3%.


Return on Equity

High ROE: BAT's Return on Equity (52.6%) is considered outstanding.


Financial Health

How is British American Tobacco Kenya's financial position?


Financial Position Analysis

Short Term Liabilities: BAT's short term assets (KES8.5B) exceed its short term liabilities (KES7.2B).

Long Term Liabilities: BAT's short term assets (KES8.5B) exceed its long term liabilities (KES1.6B).


Debt to Equity History and Analysis

Debt Level: BAT is debt free.

Reducing Debt: BAT has no debt compared to 5 years ago when its debt to equity ratio was 33.7%.

Debt Coverage: BAT has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: BAT has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is British American Tobacco Kenya current dividend yield, its reliability and sustainability?

10.47%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BAT's dividend (10.47%) is higher than the bottom 25% of dividend payers in the KE market (4.2%).

High Dividend: BAT's dividend (10.47%) is in the top 25% of dividend payers in the KE market (7.83%)


Stability and Growth of Payments

Stable Dividend: BAT's dividend payments have been volatile in the past 10 years.

Growing Dividend: BAT's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (81.3%), BAT's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BAT's dividends in 3 years are not forecast to be well covered by earnings (100% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.1yrs

Average management tenure


CEO

Crispin Achola

0.75

Tenure

Mr. Crispin O. Achola has been a Managing Director at British American Tobacco Kenya plc since January 2021 and was Executive Managing Director since January 1, 2021 until 2021 and serves as its Director....


Leadership Team

Experienced Management: BAT's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Members

Experienced Board: BAT's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

British American Tobacco Kenya plc's employee growth, exchange listings and data sources


Key Information

  • Name: British American Tobacco Kenya plc
  • Ticker: BAT
  • Exchange: NASE
  • Founded: 1907
  • Industry: Tobacco
  • Sector: Food, Beverage & Tobacco
  • Market Cap: KSh43.000b
  • Shares outstanding: 100.00m
  • Website: https://www.batkenya.com

Number of Employees


Location

  • British American Tobacco Kenya plc
  • 8 Likoni Road
  • Industrial Area
  • Nairobi
  • 100
  • Kenya

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/19 15:32
End of Day Share Price2021/10/19 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.