British American Tobacco p.l.c.
BTAFFConsumer Defensive · Stock · quarterly payer
Forward Yield
6.05%
Annual Dividend
$3.34
Payout Ratio
83%
5-Yr Growth
3.6%
Ex-Date
Oct 1, 2026
Frequency
Quarterly
Summary
As of September 2026, British American Tobacco p.l.c. (BTAFF) yields 6.05% ($3.34 per share annually), with a blended fair-value estimate of $95.98 — +74% upside, so it screens as undervalued. Dividend safety grade: C (56/100). 3 years of dividend growth.
Is BTAFF a good dividend stock?
MixedBritish American Tobacco p.l.c. (BTAFF) pays a quarterly dividend yielding 6.05% ($3.34/yr), with 3 years of growth and a dividend-safety grade of C. The picture is mixed — the dividend pays, but safety or growth signals are weaker than ideal.
Advantages
- 58% total price return over 5 years
Risks
- Cut its dividend in 2022
Key Data
- Dividend Yield
- 6.05%
- Payout Ratio
- 83%
- Annual Dividend
- $3.34
- 5-Yr Avg Growth
- 3.6%
- Ex-Dividend Date
- Oct 1, 2026
- Years of Growth
- 3
- Frequency
- quarterly
- Beta
- 0.13
- Market Cap
- $120.8B
- P/E Ratio
- 14.0
- 5-Yr Total Return
- 58%
- 52-Week Range
- $49.75 – $69.57
- Dividend Safety
- C · 56/100
- Ever Cut?
- Yes (2022)
Frequently Asked Questions
BTAFF Price — Last 12 Months
Daily close
Price Return
1 Year
+5%
3 Years
+73%
5 Years
+58%
52-Week Range
$49.75 – $69.57
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is BTAFF worth?
Undervaluedhigh confidenceOur blended fair-value estimate for British American Tobacco p.l.c. is $95.98 per share, versus a market price of $55.11. That implies 74% of upside — a margin of safety of about 43%.
Fair Value
$95.98
Current Price
$55.11
Upside
+74%
Margin of Safety
43%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about -2.7% annual free-cash-flow growth. We model 8.1% — below our estimate, leaving room for upside if the business executes.
Assumptions: 7.0% discount rate (CAPM), 8.1% stage-1 growth, 2.5% terminal growth, $3.90 EPS, $3.34 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
BTAFF Dividend Safety Score
Borderline
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Jul 9, 2026 | — | $0.8200 | regular |
| Mar 26, 2026 | — | $0.8190 | regular |
| Oct 2, 2025 | — | $0.8100 | regular |
| Jun 26, 2025 | — | $0.8200 | regular |
| Mar 27, 2025 | — | $0.7730 | regular |
| Dec 19, 2024 | — | $0.7400 | regular |
| Sep 26, 2024 | — | $0.7840 | regular |
| Jun 27, 2024 | — | $0.7430 | regular |
| Mar 21, 2024 | — | $0.7530 | regular |
| Dec 21, 2023 | — | $0.7300 | regular |
| Sep 28, 2023 | — | $0.7010 | regular |
| Jul 13, 2023 | — | $0.7500 | regular |
| Mar 23, 2023 | — | $0.7080 | regular |
| Dec 22, 2022 | — | $0.6580 | regular |
Income Calculator
At $3.34 / yr per share
