WallStSmart

British American Tobacco p.l.c. (BTI) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

British American Tobacco p.l.c. stock (BTI) is currently trading at $58.72. British American Tobacco p.l.c. PE ratio is 13.08. British American Tobacco p.l.c. PS ratio (Price-to-Sales) is 5.13. Analyst consensus price target for BTI is $60.90. WallStSmart rates BTI as Hold.

  • BTI PE ratio analysis and historical PE chart
  • BTI PS ratio (Price-to-Sales) history and trend
  • BTI intrinsic value — DCF, Graham Number, EPV models
  • BTI stock price prediction 2025 2026 2027 2028 2029 2030
  • BTI fair value vs current price
  • BTI insider transactions and insider buying
  • Is BTI undervalued or overvalued?
  • British American Tobacco p.l.c. financial analysis — revenue, earnings, cash flow
  • BTI Piotroski F-Score and Altman Z-Score
  • BTI analyst price target and Smart Rating
BTI

British American Tobacco p.l.c.

NYSECONSUMER DEFENSIVE
$58.72
$0.63 (1.08%)
52W$36.35
$63.22
Target$60.90+3.7%

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IV

BTI Intrinsic Value Analysis for Value Investors

Benjamin Graham Formula · British American Tobacco p.l.c. (BTI)

Margin of Safety
-39.2%
Significantly Overvalued
BTI Fair Value
$43.34
Graham Formula
Current Price
$58.72
$15.38 above fair value
Undervalued
Fair: $43.34
Overvalued
Price $58.72
Graham IV $43.34
Analyst $60.90

BTI trades 39% above its Graham fair value of $43.34, indicating the stock may be overvalued at current levels.

Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.

WallStSmart

Smart Analysis

British American Tobacco p.l.c. (BTI) · 10 metrics scored

Smart Score

62
out of 100
Grade: C+
Buy
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in market cap, peg ratio, operating margin. Concerns around revenue growth and eps growth. Fundamentals are solid but monitor weak areas for improvement.

British American Tobacco p.l.c. (BTI) Key Strengths (5)

Avg Score: 9.2/10
PEG RatioValuation
0.4310/10

Growing significantly faster than its price suggests

Operating MarginProfitability
34.60%10/10

Keeps $35 of every $100 in revenue after operating costs

Profit MarginProfitability
30.30%10/10

Keeps $30 of every $100 in revenue as net profit

Market CapQuality
$131.26B9/10

Large-cap company with substantial market presence

Return on EquityProfitability
15.80%7/10

Solid profitability: $16 profit per $100 equity

Supporting Valuation Data

P/E Ratio
13.08
Undervalued
Forward P/E
12.44
Attractive
Trailing P/E
13.08
Undervalued

British American Tobacco p.l.c. (BTI) Areas to Watch (5)

Avg Score: 3.2/10
Revenue GrowthGrowth
0.10%2/10

Revenue growing slowly at 0.10% annually

EPS GrowthGrowth
1.60%2/10

Earnings barely growing at 1.60%

Institutional Own.Quality
13.98%2/10

Very low institutional interest at 13.98%

Price/SalesValuation
5.134/10

Premium valuation at 5.1x annual revenue

Price/BookValuation
2.086/10

Fairly priced relative to book value

Supporting Valuation Data

Price/Sales (TTM)
5.13
Premium

British American Tobacco p.l.c. (BTI) Detailed Analysis Report

Overall Assessment

This company scores 62/100 in our Smart Analysis, earning a C+ grade. Out of 10 metrics analyzed, 5 register as strengths (avg 9.2/10) while 5 fall into concern territory (avg 3.2/10). The category breakdown reveals uneven performance, with some areas requiring attention.

The Bull Case

The strongest argument centers on PEG Ratio, Operating Margin, Profit Margin. Valuation metrics including PEG Ratio (0.43) suggest the stock is attractively priced. Profitability is solid with Return on Equity at 15.80%, Operating Margin at 34.60%, Profit Margin at 30.30%.

The Bear Case

The primary concerns are Revenue Growth, EPS Growth, Institutional Own.. Some valuation metrics including Price/Sales (5.13), Price/Book (2.08) suggest expensive pricing. Growth concerns include Revenue Growth at 0.10%, EPS Growth at 1.60%, which may limit upside.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether Revenue Growth improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 15.80% currently healthy but needing to be sustained. Third, growth sustainability, with Revenue Growth at 0.10% needing to reaccelerate.

Risk Considerations

Based on the metric profile, this is a moderate-to-high risk investment. Strengths and concerns are roughly balanced. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Mixed fundamentals with both positives (PEG Ratio, Operating Margin) and negatives (Revenue Growth, EPS Growth). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

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WallStSmart Analysis Synopsis

Data-driven financial summary for British American Tobacco p.l.c. (BTI) · CONSUMER DEFENSIVETOBACCO

The Big Picture

British American Tobacco p.l.c. is a mature, profitable business with steady cash generation. Revenue reached 25.6B with 10% growth year-over-year. Profit margins are strong at 30.3%, reflecting pricing power and operational efficiency.

Key Findings

Excellent Capital Efficiency

ROE of 1580.0% means the company generates strong returns on shareholder equity. Above 20% is considered top-tier.

Strong Profitability

Profit margin of 30.3% and operating margin of 34.6% demonstrate strong pricing power and operational efficiency.

What to Watch Next

Dividend sustainability with a current yield of 5.5%. Watch payout ratio and free cash flow coverage.

Sector dynamics: monitor TOBACCO industry trends, competitive moves, and regulatory changes that could impact British American Tobacco p.l.c..

Bottom Line

British American Tobacco p.l.c. is a well-established business delivering consistent profitability with 30.3% margins. The growth phase may be slowing, but strong cash generation and operational efficiency make it suitable for investors seeking reliability over excitement.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

Insider Transactions(0 last 3 months)

Total Buys
0
Total Sells
0

Data sourced from SEC Form 4 filings

Last updated: 11:07:25 AM

About British American Tobacco p.l.c.(BTI)

Exchange

NYSE

Sector

CONSUMER DEFENSIVE

Industry

TOBACCO

Country

USA

British American Tobacco plc offers tobacco and nicotine products to consumers around the world. The company is headquartered in London, the United Kingdom.