No US markets closed at 8pm.... |
BTI continues to climb in US. Currently 31.07 equivalent 2441p. 45 minutes to close |
Far too often I have seen a special dividend followed by a share consolidation say 9 for 10 to bring the share price back to where it was, and you gain nothing from the payout unfortunately as you lose 10% of your shares for the 10% it drops on XD for the payout..
TATE did a 6 for 7 in May 2022, GSK did a 4 for 5 same year, both caught me.. |
Thanks monty. I'd guessed you might not be a seller.
So, what's wrong with a special dividend? You'd get that into your ISA. OK, on the simple logic of BB's the share price may not rise - but your NOT selling. So what?
If, however the BB raises the share price as your NOT a seller - how does that benefit you?
The rising share price with a static or slightly rising dividend adjusts the yield downwards so makes the stock less tasty for people to buy - other than short term holders.
I don't understand your logic. |
Compounding tax free in Isa I reckon back over 3000p one day, with buybacks, in the meantime collecting massive dividend every 13 weeks, I can't match this anywhere else, so not a seller. |
monty: are you inclined to sell some of your shares in BATS once the share price rises?
Or, are you intending to hold for the tasty dividend - paid four times a year?
I really would like to know your answer. |
Difference here buybacks 1.6 billion pounds and lasts until end of 2025 then share will be cancelled.I prefer this to a special dividend. |
Well buybacks make a lot more sense at £24 than £30-£32 last time they had $2bn to burn a couple of years back.As you can probably tell i'm not a fan of BBs.Just my opinion.IAG blew billions on BBs years back when the share price was x3-x4 higher than it is now and it still rankles with me!!! |
This 2400p big resistance level, I think we will smash through with the buyback program started and ex dividend of 58.8p on Thursday, onwards and upwards and collect our dividend tax free in the isa bag, lol. |
Buy backs will help,but interest rate cuts going forward will benefit this share price a lot i hope. |
BATS buybacks should hopefully squeeze shorters before ex div day on Thursday! |
At last buybacks started. Onwards and upwards.They should sell a stake in ITC every year to keep buybacks going for years, hopefully. |
Starting today.. :o) shame it could not wait for new ISA day but we will see the impact on the share price of the buyback program soon enough, 1st disclosure tomorrow morning.. |
British American Tobacco p.l.c. (the "Company" or "BAT")
18 March 2024
SHARE BUY-BACK PROGRAMME
As previously announced on 13 March 2024, BAT today commences its programme to buyback BAT ordinary shares (the "Programme") using proceeds from sale of 436,851,457 ordinary shares in ITC Limited. The final net proceeds received by the BAT Group were £1.57bn and the Programme will buy back £1.60bn of BAT ordinary shares starting with £700mn in 2024 and with the remaining £900mn in 2025. The Programme will commence on 18 March 2024 and will end no later than 31 December 2025. |
 I enjoyed Dr Copper's comment
"Even having blown up the B/S on Reynolds and even with the headwinds from declining US stick volts, adj earnings (excl. Russia) have grown albeit fairly slowly. It’s all about the de-rating - stock has gone from 18x to 6x in less than a decade. As you rightly point out the DY is now 10%. Assuming no change in P/E ration then with say 3% eps growth (which I think is bearish) the you are looking at a potential TR of 13%. Now with the buyback coming (after the AGM) that will be hugely accretive to eps. People have to remember the FCF is £8bn (FCF %mid-teens)The dividend costs £5bn. £3bn p.a.has been going on paying down debt. It will take one more year to hit the mid point of the new range for net debt (2-2.5x EBITDA) and thereafter they could buy back £3bn p.a. The next two years we already have £700m followed by £800m. Equity market value is c.£50bn. These buybacks are huge as they should as management says be “sustainable” now the B/S is fixed. This is a very cheap stock in my view. Happy to hear the opposite view." |
Thanks Phil. Good news for income investors. London listings do have an advantage for dividend lovers, which is why Shell and Unilever moved their HQs here. |
BAT chief: moving to US not a ‘no-brainer’ as he defends London listing
Former top-10 shareholder in tobacco company who pushed for the change has exited his position |
Great idea... then we have to pay 15 percent withholding on dividends if in an ISA |
Bats need to leave London and list in New York. |
#8691 maybe time to stop on this paticular subj? |
Happy Paddys Day everyone. |
I thought the 'hint' of a BB caused an share price to rise? |
See where we go when the buybacks start post ITC sale, GBP1.7BN coming in for use over 2024/2025... |
disappointing but hey ho |
Customisable watchlists with full streaming quotes from leading exchanges, such as LSE, NASDAQ, NYSE, AMEX, Bovespa, BIT and more.
Hot Features
Premium
