Ex div next week. Nebius is one hell of a change from BATS. |
A war of attrition going on for 3000 |
 AJ Bell: Don’t underestimate BATS headwinds
British American Tobacco (BATS) has managed to grow sales and profits despite the tide turning against smoking and vaping but the headwinds for the industry should not be underestimated, says AJ Bell.
The Citywire Elite Companies AAA-rated owner of Lucky Strike and Pall Mall confirmed it would deliver full-year results in line with guidance as trading in the second half had grown as its move towards smokeless products provided a boost.
‘Despite pressures around tighter regulation, healthcare issues moving up the agenda and governments taking steps to stop young people vaping, British American Tobacco continues to grow its sales and profits,’ said Dan Coatsworth.
‘Admittedly, growth rates for next-generation products haven’t been as strong as some companies would have liked, yet the transition from old to new continues to make progress.’
He said investors are ‘warming to the sector again’ reflected in BATS shares, which have risen 28% this year and rose 0.9% to £29.97 on Wednesday, extending gains to 30.6% over the last year.
‘Just like the oil sector lost fans during the wave of interest in all things ESG a decade ago and then regained supporters, it looks like the tobacco and vaping sector is doing the same,’ said Coatsworth.
‘It’s not that simple. The headwinds for the tobacco and vaping industry must not be underestimated…; That makes shares such as British American Tobacco higher risk than some investors might consider.’ |
Morgan Stanley reiteratets underweight and reduces share price forecast. |
I'm back in.. traded the Lloyd's spike yesterday now in for the divi |
fenners66 @ totally agree, very lazy not to include some figures.
I think it's obvious that NGP not doing so well as expected! |
That update short on figures and comparisons.
Debt expected to be top end of range.Finance charge noted but obviously you want to see what it was last year and see comparative effect. Note much more spent on interest than capital investment.
Lazy not putting comparatives or trying to deflect? |
Steady as she goes |
Inline trading statement but no cigar |
The illicit vape trade i'm afraid is something BATS is going to have to live with.The smuggling of these vapes is a headwind, but authorities are pretty ineffectual as with most smuggling operations.It's too lucrative. |
Let's see how the market digests this. Seems good to me and nothing untowards. Xd shortly and juicy divis rolling in. As long as they communicate this well (which they have) then that is great. |
We will continue to reward shareholders through strong cash returns, including our progressive dividend and sustainable share buy-back, and we remain committed to returning to our mid-term guidance of 3-5% revenue and mid-single digit adjusted profit from operations growth on an organic constant currency basis by 2026.
Reasons to hold your shares tight too.. :o)
#Tornado12, agreed, a steady as she goes as we expected RNS but what is more important today (IMO) is there has been no reason delivered to sell the share off after the rise from 2400-3000 pence.. |
Positive figures and hopefully we can break and hold 3000 very soon.
With the divi not too far now from being locked in I think that's very possible.
Good luck all 👍🏻 |
Result in line with guidance..... do not see anything stella in there to suggest a big leg up in the SP |
11.12.2024 - confirming FY24 delivery in line with our guidance.
H2 acceleration in line with our expectations, driven by NGP innovation phasing, the benefits of H1 investment in U.S. commercial actions and unwind of wholesaler inventory movements.
We expect to deliver improved NGP and combustibles revenue growth in H2 versus H1..
On point, but will if get us up and over 3000 pence today.. :o) |
Still got a nice holding Bats for dividend income in an isa, sold a few to buy Nebius in US, in my ISA at 32.2 dollars, I think next big AI winner for 2025. No dividend on this one of course but hopefully capital gain. |
Long awaited too #Supermarky, IF the pre close results report what most expect and demonstrate accelerating growth in NGP in line with all the other majors PM/MO/IMB then we could have another run at and through 3000 pence in the morning, secondly it could also have some share price drag over at IMB as they are on the same page but behind BATS.. |
Big day tomorrow |
#Cameo4 - ITC - 24.10.2024 - Hotels demerger update: The National Company Law Tribunal, Kolkata Bench (NCLT), vide Order dated 4th October, 2024, has sanctioned the Scheme of Arrangement amongst ITC Limited and ITC Hotels Limited and their respective shareholders and creditors under Sections 230 to 232 read with the other applicable provisions of the Companies Act, 2013 (the Scheme); certified copy of the NCLT order is awaited. The scheme will be effective on the first day of the following month after filing of certified copy of the aforesaid NCLT Order with the registrar of companies, West Bengal, and fulfilling other conditions & matters referred to in the Scheme..
BATS news on Wednesday .. :o) |
News on the ITC hotel demerger might give the shares a boost. |
BAT non-tobacco progress a wild card in next week's update
British American Tobacco PLC (LSE:BATS), in line with its peer Imperial Brands, has been in favour in recent months as investors have focused on cash flow rather than declining volumes of cigarette sales.
Volumes are tipped to drop 5.9% in the year just ended by UBS but will be offset by higher prices to leave revenues up by 1.5% with an improving second-half trend.
Sales of non-tobacco products will be something else to note says the Swiss bank, especially how quickly they are or aren't growing.
Organic profits should see a second-half acceleration with underlying profits likely to be up 1.5% over the year and 3.6% in the second half.
The impact of the Russia disposal, however, will mean a 4% decline in statutory earnings per share to 360.5p.
Shares currently are 2,964p and close to their year high.
proactiveinvestors.co.uk |
The start of the run up into results, or the Santa rally or a bit of both.. :o)
Looking forward to the 11th, and the impact of NGP on growth / stick decline, see if that will get us up and over 3000 pence.. |
Agree that the Indian tax threat gives a valid reason for some to take profit especially with the share price bouncing around the 3000 level too.
I suspect though once they are flushed out it will push on and hold 3000 before we reach December 19th.
Good luck all 👍🏻 |
Sounds good, I think the threat of Indian tobacco tax, will dampen sentiment, until it becomes clearer. |
British American Tobacco: New Glo Hilo Looks Like A Winner |
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