British American Tobacco Share Discussion Threads

[chatchat] 04/4/2024 16:14

Is the decimal in the wrong place? So far 3.2m shares bought back (11 days at mix of 300k and 280K shares) If that's at an average circa £23.86 then that's 76.35m so about 11% of the way through.

[jubberjim] 04/4/2024 14:22

Finkie

700 million allocated to initial buyback for 2024
And then
800 million allocated to buyback in 2025

So think UBS and BATS have emptied the coffers for this initial phase

Don t know what will happen now

Stonking dividend on show at moment but many a slip betwixt cup and lip added to which have been reading that a lot of stocks are being liquidated to bolster cash reserves .

Lots of risk in the world at moment
This can take up a lot of your capital very quickly

Take care

[gbh2] 04/4/2024 12:54

Not even Biden knows what Biden wants, but the Whole World knows what he needs!

[fenners66] 04/4/2024 11:55

"menthol is used disproportionately by Black smokers, in part because of tobacco companies' marketing efforts and also appeals to younger smokers."

Is that saying that Biden does not want to ban it because he wants to encourage blacks and the young to smoke ?
I.e. die younger ?

[supermarky] 04/4/2024 10:56

Nose diving?Patience.

[finkie] 04/4/2024 10:19

what is the total level of buyback they have been granted ie what percentage of issued share capital will be taken back in and cancelled

[mcunliffe1] 04/4/2024 10:16

abrdn style of BB maybe :-)

[batman5513] 04/4/2024 10:15

Been nose diving ever since the BB announcement, heading the wrong way all the time from the predicted £24 , someone got their sums wrong.

[car1pet] 04/4/2024 09:43

Any reason for the daily falls over last few days. I thought that 2400p was a floor but no

[action] 04/4/2024 08:58

Do you think If Trump in power may remove the ban completely?

[geckotheglorious] 02/4/2024 17:35

The U.S. ban on menthol cigarettes may be pushed to after the election

The U.S. Food and Drug Administration's proposal to ban menthol-flavored cigarettes in the United States could be faltering after the White House missed its self-imposed target to finalize the rules by March.

[tornado12] 02/4/2024 13:15

For sure planning to add here. Feel the bottom is hit in share price and the annual 235p divi cannot be ignored.

[mcunliffe1] 02/4/2024 10:17

Invest ahead of your divi and take the divi as cash into your SIPP/ISA.
Double winner if the share price continues to rise.

[montyhedge] 02/4/2024 08:53

Payday 2nd May dividend reinvestment don't want Bats running up to much by then, lol.

[laurence llewelyn binliner] 01/4/2024 12:07

#Hope1815, correct on the 25% tax free lump sum on the way out, but in real terms the GBP 12,570 personal allowance is wiped out by the state pension income offset 1st, so SIPP income does almost or all get taxed at the 20%/40%/45% or even 55% on further lump sums income tax rate..

Anything can happen of course with policy changes, but retrospective taxes on 25 year years of ISA savings and planning having already paid the tax to fund it would be brutal for long term investors, holders have had no reliefs.. :o(

[hope1815] 01/4/2024 11:59

On Sipp's income that is incorrect on the Tax part. You get a 25% lump sum tax-free, also you can use your personal tax Allowance of 12,570 if you have spare against the Sipp on a yearly basis when in Drawdown.

An example Sipp Total £16,000 25% Tax-free which is £4,000. This leaves £12,000 in drawdown. If you have not used PTA 12,570 you can use that against Drawndown in 1 year or spread over 3 years if you have spare PTA.

Happy Investing

[laurence llewelyn binliner] 01/4/2024 11:29

October/November we will find out, or even earlier in the Labour manifesto..?

Taxing ISA income or capital gains could happen, but that could cost them votes, not all ISA holders vote blue/orange/green and was it not a labour policy under Blair to call them the ISA in 1999..? PEP/TESSA before would have been a Tory policy..?, ISA funds have already been taxed once on earnings before going in..

SIPP funds get tax relief on the way in, but then taxed on the way out..

[tag57] 01/4/2024 10:36

The £100,000 cap suggestion has been around for a while, coming from the Resolution Foundation. It isn’t going to help the people who can’t afford to save, which should be the focus.

[mcunliffe1] 01/4/2024 09:57

And! It's what Labour has always done.

Unfortunately, the Tories thought it was an equally good idea and have been emulating failed Labour policies for several years now.

I'm spread about for historical reasons. Prem. Bonds, S&S ISA, Cash ISA and a SIPP. Some cash in a B. Society.

If the cap of £20k remains - across all types of ISA's in total, I presume a total cap would also be applied across all types of ISA's. One total.

Spreading £100k in a cash ISA and £100k in a S&S ISA would probably still result in a taxation. The concern could be that money pulled out of any ISA could end up off-shore in the DAX, CAC or DOW indices. A recipe for disaster.

[lippy4] 01/4/2024 09:48

a £100,000 is not a lot of money today as isas are used for peoples pensions so labour will make people even poorer ..

[hope1815] 01/4/2024 08:31

The Government announced new guidance comes into play on 06/04/24 whereby you can open more than 1 type of ISA and invest in the same tax year. The amount is still capped at £20,000 across the ISA types.

Also, according to a report, capping the total amount people can save in ISAs to £100,000 could net the Government around £1bn extra per year in taxes. This would help offset the estimated £4.3bn that ISAs will cost the Government in foregone tax revenue by the end of the 2024/25 tax year. There are over 4,000 ISA Millionaires that were mentioned.

With the General Election coming in November 2024 Labour is considering the above of capping ISA at £100,000 (£125,000 depending on which report you believe). Depending on your Investment type it may be prudent to consider opening up a few ISA stock/shares from 8 April 2024.

I will be opening just 2 extra ISAS and just adding to some stocks on the Dividend Model so in several years I am below £100,000 on several ISA thresholds and avoid any TAX.

Happy Investing

[car1pet] 29/3/2024 19:02

OK thanks ygor705

[hope1815] 29/3/2024 18:50

Dividend Ratio Return
To understand DRR on capital investment and the return over a period to illustrate-
I did a bit of number analysis on British American Tobacco period 3 May 2019 through to 2023

British American Tobacco (BATS) based on an Investment of £200,000 in 2019 over a 4-year period on share price and dividend re-investment model. It will show how you would not lose money on your original investment.
Investment Model £200,000 Investment buys at the price of £28.97 which gives 6903 shares

Dividend 50.75p per share for each quarter Total of 203.00 for the year

Each quarter would pay £3,503 in Dividend reinvested would add 123 shares to 6,903 giving a new total of 7,026.

The new DRR now be 200,000 divided by 7026 £ 28.46 per share.

Stamp Duty was included on the trades at 0.5% with Free trade on the Dividend Reinvested.

I used this model with a Medium return on 123 shares per quarter over 4 years. I could give you the monthly yearly breakdown on each quarter number of shares reinvested and so on. I widened the perimeters on larger Investments of £500,000 and the time frame from 2018 to 2023. The results were similar so I kept to a medium model on the example I worked on.

The return over 4 years on £200,000 on the return on share would range from £19.47 to £22.45 per share on 26 March 2024. The range on shares was between 8,590 to 9,600 shares after 4 years.

It is just an Illustration showing the case in America where people have brought a Class Action they lost money. They lost when they sold not if they kept their Investment.

I did consider people just being paid the Dividend quarterly hence I kept to 123 shares. The money they receive works in a similar way to Reinvestment. They would not lose money on the model above.

I hope this helps

Happy Investing

[action] 29/3/2024 16:00

Recent chart says lower lows which could be positive. Plus ITC sale will be done again to reduce debt and also buying back shares.