Imperial Brands Share Discussion Threads

[marktime1231] 01/3/2024 13:57

On the theme of a BAB merger, do you imagine there is a tacit agreement between BAT and IMB to not go head-to-head where it can be avoided. Different brand priority, geographical markets and next gen products. So that any eventual merger would be highly complementary and not necessarily anti-competitive. Probably not written down anywhere, but it makes sense to be seen as a good fit. Who would be on top in this marriage, BAT on size but IMB in better financial health?

IMBs low-hanging opportunity is its stake in Logista, just look at the fight going on over Wincanton. The future is still all about getting stuff from A to B, and where to store it in the meantime.

[louis brandeis] 28/2/2024 08:45

You'll have to share it with me I'm afraid. :)

[adeg] 28/2/2024 07:33

If they keep buying back at the rate they did yesterday in just over 5 years I'll own the whole company!

[philanderer] 28/2/2024 00:44

New Zealand pulls back on plan for world's first mandated smokefree society




email&utm_source=seeking_alpha&utm_term=34494010.798

[spud] 27/2/2024 21:05

Yes, that's my takeaway as well. We're seeing a major overreaction to todays news and I fully expect to see the lost ground recovered in pretty short order. spud

[zicopele] 27/2/2024 20:43

This is actually really good news. Vapes are going maonstream.

Government needs the tax revenues.

[salver2] 27/2/2024 20:21

Apologies I didn’t read the RNS detail !

[shareideas1] 27/2/2024 18:48

He sold half his nil cost options to cover his tax liability...

[tag57] 27/2/2024 18:41

Salver2 - if he did I would have thought he would be f@@ked.

[salver2] 27/2/2024 18:18

It should be noted that the CFO Lucas Paravicini sold about half his stake last week for a million pounds-does he know something we don’t?

[tornado12] 27/2/2024 16:14

I carry on adding YoY with expectation of my complete capital return within next 6 yrs. I accept the share price is at risk , but believe the divi can continue for a number of decades to come , tax free. I don’t believe that smoking will disappear from planet but rather flatten out in next years GLA

[louis brandeis] 27/2/2024 16:05

Let people sell their shares to the company for less. IMB can buy a percentage of the company annually at a greater rate than fall in sales.

This reminds me of Buffett’s play on Rockwood. Everyone was selling their shares back to Rockwood for certificates of ownership in cocoa beans at a better rate than the current price that they overlooked the fact that remaining shares after the buyback would hold more cocoa beans/share than what Rockwood were offering on the buyback deal.

[philanderer] 27/2/2024 14:06

Hopefully chart support at 1715p , then looks like down to 1580p.

[pete160] 27/2/2024 14:03

IMB - Net sales (all sales, not just vapes) are distributed geographically as follows: the United Kingdom (13.2%), Germany (13%), the United States (11.4%), France (9.9%), and other (52.5%).

I cannot see today's share price fall as being just down to news of a potential tax on vapes in the UK, and even if they added 10% more tax (including the vat) IMB, BAT and others will just increase the retail price.

I'm a holder of IMB and it's a great price to add more for the yield (as I did when BAT had their recent price hiccup)

[redbaron10] 27/2/2024 13:44

I suppose this share price drop was always likely to happen.News of tax on vapes and with the two big quarterly dividend dates behind us then it gives an excuse for the MMs to take this down.This will probably stumble around the price we are now for six months and then the interest will build for the two big quarterly divis again.

[dmore2] 27/2/2024 13:21

Sunak must be shorting big tobacco

[tourist2020] 27/2/2024 13:14

It seems to be company specific. BATS has not really moved much.

[philanderer] 27/2/2024 12:50

Big tobacco firms Imperial and BAT fall on vape tax plan


Shares in tobacco giants British American Tobacco PLC (LSE:BATS) and Imperial Brands PLC (LSE:IMB) fell on news that vaping and cigarettes could be hit with new taxes in the UK.

Prime minister Rishi Sunak and chancellor Jeremy Hunt are mulling introducing a new tax on vapes at next Wednesday's Budget, according to media reports.

Currently vaping products are subject to VAT but not the same levy as is applied to cigarettes.

Tobacco duty could also increase at the Budget, to ensure that vaping remains cheaper, reported the Times, which first broke the story.

Last month, plans were announced for UK-wide restrictions on disposable vapes, to tackle the rise in youth vaping.

Imperial Brands, which owns the Blu vape brand and tobacco brands including Golden Virginia and Richmond, shares fell 4.3% while BAT, which owns Vuse vaping brand and Rothmans and Lucky Strikes, was down only 0.6%.

"Although the industry is jostling for position in the vaping market, given the volumes declines in tobacco, these products are still a relatively small part of the picture," said market analyst Susannah Streeter at HL.

"Investors had also been expecting greater regulation in the sector, so a potential increase in tax isn’t a wild surprise and given they are global companies a change in UK fiscal policy won't move the dial too much."



proactiveinvestors.co.uk

[marktime1231] 27/2/2024 12:33

Oh, I forgot to add, my first response this morning was GREAT! A cheap run for the buyback programme.

[fenners66] 27/2/2024 12:24

Here we go again - the BB acolytes will never accept it - but buying back the shares may increase the long term share price and EPS , PROVIDED everything else remains the same .

As everyone knows , everything else does not remain the same - there are always outside impacts.
Taxation
Laws on smoking or vapes
Competition
Change in behaviour
Impacts with foreign powers - Russian market
Potential supply disruption etc, etc.

But the alternative which would have delivered an actual impact on EPS , therefore dividends and perhaps price
would have been to repay the high priced debt instead.

But I'm whistling in the wind as the Institutions who own the majority of the shares (with everyone else's cash) just want liquidity so they can buy and sell dependent upon how their clients move cash around and buybacks always provided a buyer of last resort.

[unframedexpulsion] 27/2/2024 12:19

How come BATS is down less than a percent then?

[bbonsall] 27/2/2024 12:10

Does BAT have no involvement with vapes? Apparently not looking at their share price this morning!

[spud] 27/2/2024 11:49

Yup - The selling algo's are going bonkers selling micro blocks.I do suspect that it is connected to this morning's news.

spud

[marktime1231] 27/2/2024 11:47

A whiff of what is perceived as bad news making the minds up of those looking for an exit after the big dividends.

Not sure this is bad news either. The introduction of duty on vapes might sustain the smoking side for longer? Frustrating lack of joined up thinking by the UK government, inconsisent messaging anyway ... proposing to ban all smoking without regard for the loss of tax revenues, and ignoring that the shift to vapes and older smokers dieing out will ensure tobacco decline anyway, but proposing to introduce duty on vapes allegedly to sustain tax revenues and or to dissuade younger smokers, even though they have already sensibly proposed to ban the import of cheap fruity ones. I am still picking up about a dozen a day off the ground.

Actually this is a heralded and overdue development, duty on vapes was only a matter of time. Does it mean the tobacco lobby has lost the argument that vapes are healthy or healthier?