British American Tobacco Share Discussion Threads

[crossing_the_rubicon] 23/12/2019 09:27

Ex divi this week - a chunky 50.75p :)

[coxsmn] 22/12/2019 07:31

Article in Sunday Telegraph"BAT to fight human rights case as it denies benefiting from under-age labour""the world's largest cigarette maker, which sources tobacco from thousands of small farms in the landlocked country. But now the FTSE 100 giant is facing a lawsuit for doing business with farms that put children as young as five to work."

[redbaron10] 20/12/2019 16:24

Point taken.I still believe there is momentum to the upside in the share price There will in all likelihood be a drop of 50p or so on Tuesday,but the share price will be back to £33 soon after imho

[grahamburn] 20/12/2019 15:40

Not sure what you mean, redbaron.

It's true that there is a dividend to come in January, but that is still in the price (ie it doesn't go ex-dividend until 24 December so it's probable the price will weaken by around the dividend amount of 50.75p). So, your use of the word "with" is somewhat misleading. It would be fine to use that little word after 23 December, but not really before.

[redbaron10] 20/12/2019 12:41

Revise that to £33 with a dividend to boot.

[crossing_the_rubicon] 20/12/2019 09:49

"Canada moves to restrict vaping product advertising"

Citing its role to do more to protect the young, Canada Minister of Health Patty Hajdu has proposed new regulations to prohibit the promotion and advertising of vaping products in places that it can be seen or heard by youth, including online.


Over in US
"Congress approves raising tobacco age to 21"
The minimum age to purchase cigarettes, e-cigarettes and other tobacco products will be raised to 21 nationwide under the spending bill passed by the Senate on Thursday.

The two biggest U.S. cigarette manufacturers, Altria (NYSE:MO) and Reynolds American (NYSE:BTI), both supported the age restriction, as did Juul Labs (JUUL), which has been sharply criticized over a surge in underage vaping.

[keisersoze] 19/12/2019 11:10

Not sure if this has been mentioned before, there's a very good podcast on Freakonics dated 20 Nov - The Truth about the Vaping Crisis. Well worth a listen...

Meanwhile, the price action here is looking very positive.

[eeza] 18/12/2019 21:26

XD is 24 Dec (not Dec 27) because of Xmas.

[karateboy] 18/12/2019 19:35

Ex dividend dade is 27th as I remember. It is good to bank another 51p per share.

[redbaron10] 18/12/2019 15:48

52-week high here.Keep going.

[stepone68] 16/12/2019 13:12

Hi Chucko, there will be more detail in the note. Although I'm pretty sure targets based solely on momentum do just as well as those formed by fundamental analysis.

[simba_] 16/12/2019 12:42

I certainly don't pay much attention to those targets. Not sure anyone does. But price tends to move in whichever direction the target is. And in this case and for now, its a positive.

[chucko1] 16/12/2019 11:42

But why believe the 3400p? - it’s not as though the original 2500p had much longevity. These are supposed to represent medium to long term targets, not trading targets.

[crossing_the_rubicon] 16/12/2019 11:09

Fandabby dozey

Double upgrade.
Nice rise.
:)

[simba_] 16/12/2019 11:04

British American Tobacco received a double upgrade to buy from underperform at Bank of America, which lifted its price target for the U.K. shares to 3400 pence from 2500 pence. "An opportunity has opened up for BAT in vaping given 1) investment resets from JUUL and Imperial, 2) favourable competitive asymmetries in flavours and 3) potential market consolidation post May PMTA deadline," the broker said.

[simba_] 16/12/2019 09:40

What's going on?

[stepone68] 13/12/2019 14:58

Payment on 6th Feb. I think the ex-divi date will be the 24th, taking bank holidays into account.

[karateboy] 13/12/2019 13:58

When is the divi due. I took advantage price drop this morning to buy few more.

[muscletrade] 13/12/2019 10:58

Moody's Outlook For Oil & Gas And Tobacco Sectors Stable For New Year
from Alliance News | 13th December 2019 09:19
(Alliance News) - The global outlook for the oil and gas industry looks broadly stable for 2020, Moody's Investors Service said late Thursday, with tobacco also seen in the same light.

The oil price will remain volatile next year, Moody's said, with key issues being producer responses to growing inventories, the recovery in Saudi Arabian volumes, accelerating US output, and a slowing in demand in general across the world.

"The stable outlook for the integrated oil and gas sector is driven by an expected recovery in earnings before interest, tax, depreciation, and amortisation on the back of upstream production growth and higher refining margins," said Steve Wood, a managing director at Moody's.

"Companies' financial policies will become more shareholder friendly, with rising dividend payments. These firms will also increase their investments in low-carbon operations," Wood added.

The exploration & production sector's outlook remains stable, Moody's said, and it forecasts low single-digit growth in Ebitda in 2020. Volume growth will ease, but will remain at 5% to 7%, with a focus on capital discipline and cash flow "pivotal".

The oil field services sector also has a stable outlook, with Moody's forecasting flat Ebitda growth and only "modest" revenue growth.

Midstream operators will see Ebitda growth by 5% to 7% in 2020, Moody's continued, due to investments made in 2018 and 2019, leading to a positive outlook for 2020. The US regulatory outlook also remains supportive, Moody's noted.

Turning to tobacco, Moody's believes the global industry will see operating profit growth of 3% to 4% in 2020, with low-to-mid single-digit falls in cigarette volumes offset by price rises.

"While heated tobacco and vaping products will continue to gain traction, increasing investment needs will constrain profit growth for some companies," said Roberto Pozzi, a Moody's senior vice president.

High dividends will constrain free cash flow, Moody's noted, though stronger earnings will give tobacco firms the chance to reduce debt. However, regulatory pressure in the US remains a threat.

By George Collard; [e-mail]

Copyright 2019 Alliance News Limited. All Rights Reserved.

[redbaron10] 13/12/2019 10:53

£32 here we come......with a dividend to boot

[spud] 11/12/2019 16:10

Not helping:



Among the stocks that will exit are Barnett’s controversial positions in tobacco stocks, principally British American Tobacco (BATS), its second biggest holding at 6.9%, along with Altria and Imperial Brands (IMP) in which 5.9% is invested.

spud

[redbaron10] 04/12/2019 15:13

Now the stronger pound is working against us here.The markets seem to be anticipating a Tory majority rather than a hung parliament,and the bookies appear to be pricing that eventuality too.We will all know in just over a week.

[redbaron10] 02/12/2019 19:14

Ended 90p off the share price intra-day high.Top slicers in operation,can't blame them.Three weeks and another 50.75p dividend coming so £32 will have to wait. A Tory GE win and a Santa rally should push it there should the former happen.