British American Tobacco (NYSE:BTI) Issues Quarterly Earnings Results

British American Tobacco (NYSE:BTI) posted its quarterly earnings data on Thursday. The company reported $125.53 earnings per share for the quarter, FiscalAI reports. The company had revenue of $8.93 billion for the quarter. British American Tobacco updated its FY 2026 guidance to 4.920-4.920 EPS.

Here are the key takeaways from British American Tobacco’s conference call:

• Company achieved strong smokeless momentum—adding 4.7 million new smokeless consumers (Modern Oral up ~48%) and VELO+ delivered >300% growth in the U.S., with BAT claiming global volume share leadership in Modern Oral.
• 2025 results landed at the top end of guidance (group revenue +2.1%, adjusted profit +3.4%, adjusted EPS +3.4%) and management expects to return to its Midterm Algorithm in 2026, but guidance is weighted to the lower end of the target ranges and H2‑weighted.
• Shareholder returns and balance‑sheet flexibility were strengthened with a 2% dividend increase and a rise in the 2026 share buyback to £1.3 billion, while net debt is trending toward the 2.0–2.5x adjusted EBITDA target.
• Productivity program progress underpins margins—BAT has delivered ~£1.2 billion of savings since 2023 and targets a further £2.0 billion by 2030, plus an incremental £600 million of Fit to Win savings by 2028 (with ~£500m of associated costs).
• Significant headwinds remain in vapor and parts of APMEA—vapor revenue declined ~9% (illicit product pressure in U.S./Canada) and APMEA revenue fell ~7.2% driven by regulatory/fiscal issues in Bangladesh and Australia, creating ongoing execution and regulatory risk.

British American Tobacco Trading Up 0.1%

Shares of BTI stock traded up $0.08 during trading hours on Thursday, hitting $60.41. The company’s stock had a trading volume of 7,243,644 shares, compared to its average volume of 4,585,747. The company has a quick ratio of 0.55, a current ratio of 0.87 and a debt-to-equity ratio of 0.68. The business has a fifty day moving average of $57.94 and a 200-day moving average of $55.81. British American Tobacco has a twelve month low of $37.31 and a twelve month high of $63.03.

Analyst Ratings Changes

A number of equities analysts recently weighed in on BTI shares. Citigroup reiterated a “buy” rating on shares of British American Tobacco in a research report on Friday, November 28th. Weiss Ratings reiterated a “hold (c+)” rating on shares of British American Tobacco in a research note on Wednesday, January 21st. Deutsche Bank Aktiengesellschaft restated a “buy” rating on shares of British American Tobacco in a research report on Friday, November 28th. Morgan Stanley reiterated an “underweight” rating on shares of British American Tobacco in a research report on Wednesday, December 10th. Finally, Kepler Capital Markets started coverage on British American Tobacco in a report on Friday, December 12th. They issued a “buy” rating for the company. Seven equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $51.00.

Hedge Funds Weigh In On British American Tobacco

Several hedge funds have recently bought and sold shares of BTI. Capital International Investors lifted its position in shares of British American Tobacco by 0.5% in the fourth quarter. Capital International Investors now owns 64,389,481 shares of the company’s stock valued at $3,645,500,000 after acquiring an additional 332,062 shares in the last quarter. Capital Research Global Investors boosted its stake in shares of British American Tobacco by 1.2% during the 4th quarter. Capital Research Global Investors now owns 22,333,402 shares of the company’s stock worth $1,264,512,000 after purchasing an additional 264,511 shares during the last quarter. Orbis Allan Gray Ltd grew its holdings in shares of British American Tobacco by 20.7% during the second quarter. Orbis Allan Gray Ltd now owns 14,503,968 shares of the company’s stock worth $686,473,000 after buying an additional 2,482,737 shares in the last quarter. Capital World Investors raised its position in shares of British American Tobacco by 0.5% in the fourth quarter. Capital World Investors now owns 9,518,567 shares of the company’s stock valued at $538,935,000 after buying an additional 47,858 shares during the last quarter. Finally, Bank of America Corp DE boosted its position in British American Tobacco by 29.5% during the third quarter. Bank of America Corp DE now owns 6,934,792 shares of the company’s stock worth $368,099,000 after acquiring an additional 1,578,860 shares during the last quarter. Hedge funds and other institutional investors own 16.16% of the company’s stock.

About British American Tobacco

British American Tobacco plc (BTI) is a multinational tobacco manufacturer and nicotine products company headquartered in London. Founded in 1902 as a joint venture to commercialize tobacco products outside the United States, the company has grown into one of the world’s largest tobacco firms with a long history in manufacturing and global distribution of combustible tobacco products.

BAT’s core business remains the manufacture and sale of cigarettes and other tobacco products under a portfolio of well-known consumer brands, including Dunhill, Lucky Strike, Pall Mall, Kent and Rothmans.