BRITISH AMERICAN TOBACCO PLC (BMT.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:BMT • GB0002875804
50.7 EUR
+0.7 (+1.4%)
Last: Jan 30, 2026, 07:00 PM
Taking everything into account, BMT scores 4 out of 10 in our fundamental rating. BMT was compared to 5 industry peers in the Tobacco industry. BMT has an average financial health and profitability rating. BMT has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- BMT had positive earnings in the past year.
- BMT had a positive operating cash flow in the past year.
- Of the past 5 years BMT 4 years were profitable.
- In the past 5 years BMT always reported a positive cash flow from operatings.
1.2 Ratios
- With a Return On Assets value of 2.80%, BMT is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
- BMT has a Return On Equity of 6.59%. This is in the better half of the industry: BMT outperforms 80.00% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 2.67%, BMT is doing worse than 80.00% of the companies in the same industry.
- BMT had an Average Return On Invested Capital over the past 3 years of 7.24%. This is significantly below the industry average of 22.36%.
- The 3 year average ROIC (7.24%) for BMT is well above the current ROIC(2.67%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.8% | ||
| ROE | 6.59% | ||
| ROIC | 2.67% |
ROA(3y)-1.73%
ROA(5y)0.88%
ROE(3y)-4.1%
ROE(5y)1.61%
ROIC(3y)7.24%
ROIC(5y)6.81%
1.3 Margins
- With a Profit Margin value of 12.06%, BMT is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
- In the last couple of years the Profit Margin of BMT has declined.
- BMT's Operating Margin of 13.95% is on the low side compared to the rest of the industry. BMT is outperformed by 60.00% of its industry peers.
- BMT's Operating Margin has been stable in the last couple of years.
- BMT has a better Gross Margin (83.38%) than 100.00% of its industry peers.
- BMT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.95% | ||
| PM (TTM) | 12.06% | ||
| GM | 83.38% |
OM growth 3Y-2.51%
OM growth 5Y0.86%
PM growth 3Y-23.49%
PM growth 5Y-11.66%
GM growth 3Y0.09%
GM growth 5Y-0.13%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BMT is destroying value.
- The number of shares outstanding for BMT has been reduced compared to 1 year ago.
- The number of shares outstanding for BMT has been reduced compared to 5 years ago.
- Compared to 1 year ago, BMT has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.43, we must say that BMT is in the distress zone and has some risk of bankruptcy.
- The Altman-Z score of BMT (1.43) is comparable to the rest of the industry.
- The Debt to FCF ratio of BMT is 4.06, which is a neutral value as it means it would take BMT, 4.06 years of fcf income to pay off all of its debts.
- With a Debt to FCF ratio value of 4.06, BMT perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
- BMT has a Debt/Equity ratio of 0.68. This is a neutral value indicating BMT is somewhat dependend on debt financing.
- BMT's Debt to Equity ratio of 0.68 is amongst the best of the industry. BMT outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 4.06 | ||
| Altman-Z | 1.43 |
ROIC/WACC0.34
WACC7.8%
2.3 Liquidity
- BMT has a Current Ratio of 0.87. This is a bad value and indicates that BMT is not financially healthy enough and could expect problems in meeting its short term obligations.
- With an excellent Current ratio value of 0.87, BMT belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- BMT has a Quick Ratio of 0.87. This is a bad value and indicates that BMT is not financially healthy enough and could expect problems in meeting its short term obligations.
- BMT has a Quick ratio (0.55) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.55 |
3. Growth
3.1 Past
- The earnings per share for BMT have decreased by -2.23% in the last year.
- The Earnings Per Share has been growing slightly by 2.28% on average over the past years.
- The Revenue has decreased by -2.24% in the past year.
- Measured over the past years, BMT shows a decrease in Revenue. The Revenue has been decreasing by -0.01% on average per year.
EPS 1Y (TTM)-2.23%
EPS 3Y3.29%
EPS 5Y2.28%
EPS Q2Q%-4.31%
Revenue 1Y (TTM)-2.24%
Revenue growth 3Y0.24%
Revenue growth 5Y-0.01%
Sales Q2Q%-2.2%
3.2 Future
- BMT is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.75% yearly.
- BMT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.08% yearly.
EPS Next Y-5.04%
EPS Next 2Y0.46%
EPS Next 3Y2.73%
EPS Next 5Y4.75%
Revenue Next Year-1.7%
Revenue Next 2Y0.71%
Revenue Next 3Y1.65%
Revenue Next 5Y2.08%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 12.37 indicates a correct valuation of BMT.
- The rest of the industry has a similar Price/Earnings ratio as BMT.
- The average S&P500 Price/Earnings ratio is at 28.30. BMT is valued rather cheaply when compared to this.
- Based on the Price/Forward Earnings ratio of 12.00, the valuation of BMT can be described as correct.
- The rest of the industry has a similar Price/Forward Earnings ratio as BMT.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.57, BMT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.37 | ||
| Fwd PE | 12 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BMT indicates a rather expensive valuation: BMT more expensive than 80.00% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of BMT indicates a somewhat cheap valuation: BMT is cheaper than 80.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.01 | ||
| EV/EBITDA | 19.84 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)5.41
EPS Next 2Y0.46%
EPS Next 3Y2.73%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 5.55%, BMT is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 4.91, BMT pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, BMT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.55% |
5.2 History
- The dividend of BMT has a limited annual growth rate of 3.19%.
Dividend Growth(5Y)3.19%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
- BMT pays out 168.94% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of BMT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP168.94%
EPS Next 2Y0.46%
EPS Next 3Y2.73%
BRITISH AMERICAN TOBACCO PLC / BMT.DE FAQ
What is the ChartMill fundamental rating of BRITISH AMERICAN TOBACCO PLC (BMT.DE) stock?
ChartMill assigns a fundamental rating of 4 / 10 to BMT.DE.
What is the valuation status of BRITISH AMERICAN TOBACCO PLC (BMT.DE) stock?
ChartMill assigns a valuation rating of 4 / 10 to BRITISH AMERICAN TOBACCO PLC (BMT.DE). This can be considered as Fairly Valued.
What is the profitability of BMT stock?
BRITISH AMERICAN TOBACCO PLC (BMT.DE) has a profitability rating of 4 / 10.
How financially healthy is BRITISH AMERICAN TOBACCO PLC?
The financial health rating of BRITISH AMERICAN TOBACCO PLC (BMT.DE) is 4 / 10.
What is the earnings growth outlook for BRITISH AMERICAN TOBACCO PLC?
The Earnings per Share (EPS) of BRITISH AMERICAN TOBACCO PLC (BMT.DE) is expected to decline by -5.04% in the next year.