British American Tobacco Share Discussion Threads

[rimau1] 18/2/2021 21:12

Zico, bit of a lazy throw away comment! “Debt off the scale and dividend unsustainable” - In 2020 BATs delivered £2.6bn of POST dividend free cashflow which it used to pay down debt. By end 2021 debt will be 3x adj earnings which is very comfortable whilst the average debt maturity is 10 years. I took a maiden position today and will add on any further falls. IMO this is a nice counter cyclical play on a rising dollar, global travel resuming and a defensive hedge for a future market correction. On 8x earnings and 8% sustainable dividend i will sleep well.

[zicopele] 18/2/2021 20:48

Debt is off the scale. The dividend us unsustainable.

[zicopele] 18/2/2021 20:48

Debt is off the scale. The dividend us unsustainable.

[linton5] 18/2/2021 14:43

Pm and mo are showing bat the way in USA so far ahead on the chart front of course being in the uk is probably the problem

[philanderer] 18/2/2021 11:48

GOLDMAN SACHS CUTS BRITISH AMERICAN TOBACCO PRICE TARGET TO 3,700 (3,900) PENCE - 'BUY'

[catswhiskas] 18/2/2021 11:16

Oversold overdone anyone would think there's been a profits warning !

[creditcrunchies] 18/2/2021 10:43

market doesn't like these results for whatever reason I think it's just tobacco in general though

[topazfrenzy] 18/2/2021 08:38

Had to add another 50 shares to my long term holding at these levels

:)

[philanderer] 18/2/2021 00:53

British American Tobacco Full Year Results - Market Overlooking Some Key Positives

[philanderer] 18/2/2021 00:44

02/17/2021 | 12:56pm EST

In his latest research note, analyst Alan Erskine confirms his positive recommendation. The broker Credit Suisse is keeping its Buy rating. The target price remains unchanged at GBX 3920
.

marketscreener.com/

[redbaron10] 17/2/2021 14:32

Congrats to those who picked up sub £26. I wasn't expecting the market reaction so didn't have any funds ready....sadly.8% divi.Nice.

[philanderer] 17/2/2021 13:56

London Ev Standard..

Freetrade analyst, David Kimberley said the results showed why the cigarette giant still made an attractive proposition for investors.

He added: “Beyond the commitment to another year of hefty dividend payouts, BAT remains a highly profitable business with lots of free cash flows and extremely attractive margins.”

[muscletrade] 17/2/2021 13:21

GS JPM and RBC all maintain their Buy recommendations today while Jefferies maintains Neutral.

[catswhiskas] 17/2/2021 13:05

Steady recovery this afternoon when the doodle dandies open always does.

[essentialinvestor] 17/2/2021 12:17

Anyone chasing yield should at least consider another option,
that is to sell a small % of a stock annually, say 2-3٪ as an income top up.
Providing the underlying asset grows it can be highly effective.

[danieldruff2] 17/2/2021 12:05

I used to have a fair few BATS and IMB but after understanding Terry Smith's philosophy behind his funds I have largely junked income shares, though I appreciate having a certain income stream makes for a better night's sleep. What I'm doing is to have a small subset of the portfolio in what you might call "eternals" - stuff that should always increase divi with a little growth, so I have some BATS, DGE, CCH, CPG and a few others.

[scorpio51] 17/2/2021 11:57

I think your allocation is reasonable assuming you are looking for a stable and high income. I wouldn't expect much capital gain though. I view tobaccos much like an annuity,but rather better than a traditional insurance company one.

[linton5] 17/2/2021 11:57

25th March 54p divi

[unastubbs] 17/2/2021 11:46

no 20% is in BATS and IMB combined - c. 10% each if you like. very high, i agree and i'm aware of the implications/risks!

[essentialinvestor] 17/2/2021 11:43

20% of your portfolio is in IMB??. Unless you are well past
retirement age that appears very high risk imv.

[unastubbs] 17/2/2021 11:27

quite right! been focussing on sse so took my eye off this one. still think it will struggle to get back to 27.50. but also think it's mad to have sent this down 5%. i lack the courage to top up, this and IMB are over 20% of my portfolio (more in terms of income) so feel i'm already exposed enough. thought about selling some IMB to buy more BATS as another poster mentioned. not tempted so far. GLA

[geckotheglorious] 17/2/2021 11:03

It's a BUY on the Undervalued RSI!!!
(well it was below the 30 earlier when I bought!)

[crt131] 17/2/2021 10:43

Una... it might not be far off if you have a look at daily chart LOL

[essentialinvestor] 17/2/2021 10:25

Bought a small amount under £26.