|British American Tobacco
||EPS - Basic
||Market Cap (m)
British American Tobacco Share Discussion Threads
Showing 2176 to 2199 of 2200 messages
|On the Daily chart price made the lower high and broke the previous wave low consolidation.
But there has not been a retest of previous value.
On the daily chart the indicator has made a bullish failure swing.
Price could stall at the 4696 resistance level.
The Reynolds American bid was rejected, which may indicate a move higher. Although, the Co. could come in with a new offer.
On the lower timeframe it looks like we may be overstretched and need a correction
|Woodford was already selling some of his foreign exposures before the bid having benefited on them from the falling £. He was looking to hedge the portfolio against Cable reversal and I guess selling the remainder of Reynolds just worked nicely for him.
I sold my Reynolds holding and would buy it back if the deal falls through.|
|Woodford appears to have sold Reynolds and added to BATS.
My main adds recently are GSK, IMB and DGE.
GSK looks like it wants lower under £15 imv, so watching that closely|
|When I say can't lose - I am generally referring to long-term. If the deal fails Reynolds will fall but will not be matched by an equivalent rise in BAT IMO. If the deal is successful then having both beforehand fully hedges overpaid/underpaid risk of course.|
|M, most of my holding are through IT's.
I have added to direct holdings of IMB recently.|
|Why not hedge? Buy both Reynolds & BAT. You can't lose.
Reynolds in a SIPP in most top brokers doesn't get hit with the 15% withholding tax on dividends.
Another cash type investment IMO is BAE. My largest holding. They have enough business lined up - according to some analysts - to keep them going until 2030. Beat that, if you can, for future visibility with government guarantee.|
|Reportedly talks are ongoing hammering out a possible increased offered.
Will there be a temporary downward spike if the deal is recommended by Reynolds.
May be too simplistic a view and the share price does the opposite, any thoughts?.|
|I don't know why BATS has come off in the past month, other than over worries it may overpay for Reynolds; which personally I do not think will be the case. Whatever the reason, it must now be at a good price to buy/add. Profits are increasing even on low/no turnover growth, the dividend is as safe as any can be and at around 4%, far higher than any deposit rate available, and litigation is now in the past. For an alternative to a deposit account for those able to tie their money up for a period - which you have to do anyway to get any decent interest rate at all - then BATS is a good bet. All you've got to do, if you're worried about your capital, is to sell every time the price gets to 110% of your buying price, having enjoyed whatever dividends have been paid in the interim; then re-buy when the price falls back 10%. BATS move by that much over time naturally as it meanders around its 200dma, which is on a perennial northward path. Personally, I hold: I bought in so long ago, price moves of 10% to as much as 20% don't bother me. I'm still well in profit ... and enjoying my dividends too.|
|No, but it might be a price worth paying.|
|Can they realistically up their offer without the BATS share price taking a hit?.|
|Comment re Reynolds on Alphaville today , for and against...
|Pretty spectacular fall for a safe and steady share.|
|Deal effectively dead now IMV.|
|Deal unlikely now imv near these share price levels.|
|I hope the deal falls through.|
|(ShareCast News) -
Buy shares in British American Tobacco, said the Sunday Times' Inside the City column as the cigarette maker tries to buy rival Reynolds American. Though the industry faces innumerable hurdles, cigarette companies keep rewarding those hooked on yield. As BAT made a £4.56bn profit from operations last year it hiked its total dividend 4% to 154p. BAT owns 42% of Reynolds and has offered $47bn for the remaining shares, which the US company is expected to reject.
BAT could still offer more, with the prize of a 40% market share in the US. The cigarette market across the Atlantic remains attractive with prices still cheap compared to the UK to offer years more of price increases. Reynolds also owns some attractive e-cigarette brands.
However, investors have been warned that owning Reynolds would open up BAT to a sizeable risk of litigation from class action cases, though lower than when BAT sold its US business. Though still not cheap on a p/e basis, the shares have dropped since the bid was announced
|The other key thing, Andrew, is no new competitors, which must be unique to Tobacco.
|MO looks a little pricy to me atm, may be incorrect.
PM look to be plunging huge amounts in to New Generation products.
They are hoping for IQOS approval in the US next year or two,
already submitted a very large amount of research work to the FDA.
The product is selling very well in Japan if reports are accurate.|
|Consolidation in the tobacco industry is a slam dunk: it has to happen. And whilst it is, there will be plenty of gain and income from the major players; plus the bonus of earnings from alternative smoking devices that allows nicotine addicts their daily fix.
Defining a must have business: a legal product, an addictive product, a product whose sales are resistant to price increases and inflation (when there is any), high profit margin (ex-taxes, lol) and guaranteed repeat sales. HHmmm... ah: B̶i̶s̶;t̶o̶ I mean Tobacco. :)|
|Added to my pension fund yesterday. Now considering when to get out of Reynolds and perhaps purchase Altria; good dividend yield (4 times per year) with good market/brand strength and now a very likely target for Philip Morris International. This is a mature market but when you look at how many brands are out there there is plenty of opportunity for 'brand migration'. As an example the Chinese market has over 900 brands - that's a lot of brands!|
|Mentioned sentiment could turn quickly in the above post,
and it has.
From under £45 yesterday on the morning low.|
|Some talk Reynolds will want a 30% premium to the pre bid price,
not sure I see the BATS share price allowing that, but early days and sentiment
can alter quickly.|
|These credit downgrade warnings are unfounded IMO. The additional free cash-flow generated makes debt payment much easier even with the cost of added debt. It seems to me that anything over 2.5x EBITDA causes these young analysts to follow the crowd; perhaps some of their clients are looking to purchase the debt.|