British American Tobacco Share Discussion Threads

[grahamburn] 22/3/2018 12:44

Thanksamillion.

You are confusing the RECORD date with the EX-DIVIDEND date.

Common error, but once understood, never forgotten (hopefully).

Useful aide memoire is that ex-dividend dates are always on Thursdays.

[thanksamillion] 22/3/2018 11:48

NO!

Buy today and you get the div, buy tommorow and you dont. Must mean share price goes down by div tommorow all other things being equal.

[philanderer] 22/3/2018 10:14

It's a few coppers lower than just the dividend stripped out.




Thursday 22nd March 2018

Philip Morris (New Zealand) is suing British American Tobacco (New Zealand), alleging its larger rival is breaching competition law by locking retailers into contracts designed to preserve its dominance in a $2.5 billion market.

[bat5hit] 22/3/2018 10:09

Do you not think the ex div dip is what's happening now?

[thanksamillion] 22/3/2018 09:15

Wondering if tommorrows ex div dip will nail the bottom. This scare may be justified, however I suspect the time scales will be long and hard fought, then there is always cannabis. Meanwhile Div safe for now and should be a big temptation for those prepared to look ahead a little.

[philanderer] 21/3/2018 21:07

Time to Quit Tobacco Stocks?

[philanderer] 21/3/2018 19:13

Yes, Fed sees just two more hikes this year , £ up , cable now 1.4141

Dollar earners smacked down again tomorrow by the look of it.

[essentialinvestor] 21/3/2018 18:39

FED looks behind the curve, with Trump's tax measures adding growth when not
needed, while their national debt heads for $20 Trillion, strange times indeed.

[philanderer] 21/3/2018 17:22

BATS -7.5% this week :-O


And xd tomorrow morning for the 48.8p dividend.

[karadas09] 21/3/2018 17:18

Re: index trackers, I should have explained my point that managed funds have the freedom to Buy a share that looks undervalued and therefore support the price. More and more money is in index trackers which can't do this, and those that are actively managed are growth focussed and have a bias to momentum investing rather than income investing.

Re: the FTSE, the biggest components by value are Shell, BP, HSBC, BATS, Glaxo etc. all income stocks, so you would expect a close correlation of FTSE 100 performance to an income focussed portfoilio.

[stepone68] 21/3/2018 16:34

Overall my income shares are down 14% since May, compared to FTSE-100 down 12%. Largely this is made up for by the higher yield, but they are performing slightly worse than the FTSE as a whole.

The mention of index trackers is a red-herring. If the price falls, then the value of the index tracker holding also falls. They do not need to sell to adjust their weighting.

[karadas09] 21/3/2018 15:56

It seems to be a perfect storm for BATS at the moment:

- the possibility of rising interest rates is reducing demand for bond like income stocks
- stronger pound kicking shares with earnings in dollars
- regulators and public health bodies making noises about further measures against tobacco
- the rise of ethical investing, and certain big IIs dumping tobacco shares as a result
- a decline in smoking in the West especially amongst young people. I guess investors look around them and see a declining market not the next big thing
- a trend towards momentum investing and index trackers means once a share starts falling it often keeps falling

It's pretty brutal. My whole portfolio (which is heavily weighted towards income stocks) is looking very sickly at the moment, despite almost all of those companies reporting rising profits and postivie forward forecasts in the past 12 months. I think further falls are possible, probably bargins to be had for the brave.

[dbensimon] 21/3/2018 14:58

Shocking performance of recent. Didn't see this coming

[philanderer] 21/3/2018 14:49

Chart support looks to be around 3600p then 3400p ... both a few years ago now.

Fags shares getting taken to the cleaners. Cable not helping @ 1.4072

[hubshank] 21/3/2018 13:33

In the words of John McEnroe "YOU CAN NOT BE SERIOUS!" Let's hope it is a short attack.

[2vdm] 21/3/2018 12:58

Can anyone explain why this is "good value" which it's been showing as from 4900p with most brokers saying it's a "buy". So far I'm down 17% in 2018.

[philanderer] 20/3/2018 18:18

Two year closing low .... the market still requires a higher yield from this one.

[andrewbaker] 19/3/2018 16:32

Still do not understand the drop over the past few months. Maybe Reynolds, maybe the $, maybe US tax cuts (not considered enough for BATS), maybe ethical selling, maybe higher bond yields, maybe ... but whatever it is, is unjustified in my view. I can't reasonably hold more as I'm already overweight by a good amount; but I can enjoy the dividends whilst waiting for the capital gain that surely must come over the next year plus.

The chart indicates its reached the bottom of the trend channel since the 2008 world financial problems, so highly unlikely to go further down, and given that assumption proves correct, we are looking at a steady rise back up to a previous level of £50 by around September, and £55 in a year and a quarter-ish: and when reached, there should be a gradual rise to £60. And in the interim, the dividends will come running in from this very-much-a-cash-cow stock. What isn't there to like?? :)

[philanderer] 19/3/2018 13:57

And cable @ 1.4055 making things worse now.

edit:

Chartwise, if 4000p doesn't hold support looks to be around 3600p

[philanderer] 19/3/2018 10:39

'Bond proxy' shares getting kicked right up the @rse with bond yields looking to go much higher over the next year.

4.7% yield on BATS now and maybe even higher to come (with a correspondingly lower shareprice) to compensate for the risk value of holding equities over bonds.