BTI Stock Recent News

British American Tobacco beat estimates on the bottom line but missed on the top line. The company stepped back from a 2025 target in smoke-free products.

British American Tobacco investors have enjoyed a pleasant surprise, as BTI outperformed the market recently. After enduring a torrid period of underperformance, the stock has finally awakened. Macro headwinds are expected to abate in the second half, adding to BTI's optimism.

Big Tobacco giant British American Tobacco PLC (LSE:BATS) has criticised US authorities for the “lack of enforcement” against “illicit” single-use vapour products. The comments came in BAT's half-year trading update, which show that smokeless products now comprise 17.9% of the company's total revenues, up from 16.5% in the first half of 2023.

British American Tobacco stock currently pays a dividend of about 9% dividend. The dividend is sustainable over the short term, but there are long-term challenges.

As market volatility and uncertainty increase and the likelihood of a September rate hike looms, some investors are paying attention to high-yield dividend stocks. These stocks provide steady income and offer the potential for capital appreciation.

The storied tobacco specialist pays a very high-yield dividend that exceeds 9%. Tobacco consumption isn't what it used to be, yet it's still quite a high-margin business that throws off piles of cash.

If you've run out of ideas, why not revert to good old value investing? I mean, buying securities at discounts isn't a bad strategy, especially when their fundamentals are aligned.

British American Tobacco's H1'24 Pre-Close Trading Update has revealed "H1 delivery in line with our expectations," with H2'24 likely to be even better. Much of our H2'24 optimism is attributed to the Vuse market leadership, as the management also tapped into the nicotine-free single-use vaping market in the US. At the same time, BTI's Velo may benefit from PM Zyn's nationwide shortage through the end of 2024, potentially triggering new growth opportunities in the oral tobacco segment.

Seven companies offer a safety net against market volatility and constant dividend payments for those looking for a stable source of income. High-yield dividend companies are particularly appealing in the uncertain, higher-for-longer economic environment.

British American Tobacco is one of the few cheap stocks at the moment. It is growing revenue in vaping and nicotine pouches.