BTI Stock Recent News

BTI missed revenue estimates but is on the right track in transitioning away from combustibles at an accelerating clip. EBIT margins have improved due to higher profitability in new categories and cost savings, with further margin levers ahead in FY25 and over the next 5 years. Valuations are attractive, trading at a discount to peers, supported by rising earnings expectations.

British American Tobacco with an 8.68 P/FCF and 7.56% dividend yield remains the largest blue-chip bargain in today's highly priced margins. The recently released Velo Plus in the US achieved outstanding user feedback and could help accelerate NGP growth going forward and be a catalyst for higher valuations. Given the low valuation and defensive characteristics of the underlying business, BTI might act as a hedge against coming market turmoil. The high dividend yield could further limit the potential downside.

High-yield dividend aristocrats offer stability and income. Due to their defensive sector composition and lower volatility, they outperform the S&P 500 during market downturns. Despite recession fears, economic data shows continued growth driven by consumer spending, particularly from the wealthiest Americans, mitigating recession risks. Here are 10 low-volatility, 4.5%-plus yielding aristocrats that offer attractive long-term income growth in an Ultra SWAN package.

Philip Morris is currently overvalued at 23x earnings, making it less attractive compared to its peers like British American Tobacco. PM excels in heated tobacco with its IQOS but faces slowing growth rates, rising competition, and potential tax increases. Despite strong performance in smokefree products, PM's valuation gap with British American Tobacco is unjustified, even if we expect double-digit growth rates for PM going forward.

High-yield dividend companies with attractive valuations can allow you to generate extra income while reducing portfolio volatility and investing with a margin of safety. This list of high dividend yield companies includes dividend yields [FWD] between 4.33% (Chevron) and 15.50%-plus (Petrobras) while the selected companies offer an average P/E [FWD] ratio of 10.77. I suggest overweighting companies with attractive risk-reward profiles and dividend payments that are sustainable, allowing you to increase your wealth with an elevated likelihood.

Altria (MO 1.37%) and British American Tobacco (BTI 1.84%) both have attractively large yields, at 7.4% and 7.7%, respectively. By comparison, the S&P 500 index is only yielding 1.2% while the average consumer staples stock has a yield of roughly 2.7%.

British American Tobacco (BTI 1.84%) is one of the world's largest cigarette makers. That places the company in the consumer staples sector, since cigarette smokers tend to keep buying cigarettes no matter what the economic environment looks like.

Need investment income? Dividend stocks are obviously your best bet.

Hyperinflation and high interest rates make dividend-paying stocks attractive, providing cash flow and alleviating inflation pressure. Pfizer's 6% yield is appealing despite recent stock declines, with a low forward multiple and management's commitment to maintaining dividends. Cost savings and Haleon share sales should support Pfizer's dividend yield, with free cash flow expected to improve next year.

High dividend yields are a double-edged sword. On the one hand, you can get a sizable amount of cash back from these investments each year.