The Most 'Unethical' Dividend Portfolio Ever: Paying Your Bills With The Vices Of Humankind
Human vices like alcohol, tobacco, and sex persist; companies in these industries remain profitable and offer attractive dividends despite societal disapproval. The tobacco industry is in slow decline but still profitable; British American Tobacco, Altria, and Philip Morris offer high dividends and are transitioning to less harmful products. Alcohol consumption remains high despite narratives of decline; Brown-Forman and Constellation Brands are undervalued with strong fundamentals and dividends.
I've Been Bearish On British American Tobacco For Years But Now I'm Changing My Mind (Rating Upgrade)
BTI missed revenue estimates but is on the right track in transitioning away from combustibles at an accelerating clip. EBIT margins have improved due to higher profitability in new categories and cost savings, with further margin levers ahead in FY25 and over the next 5 years. Valuations are attractive, trading at a discount to peers, supported by rising earnings expectations.
British American Tobacco: The Largest Blue-Chip Bargain In Today's Overpriced Markets
British American Tobacco with an 8.68 P/FCF and 7.56% dividend yield remains the largest blue-chip bargain in today's highly priced margins. The recently released Velo Plus in the US achieved outstanding user feedback and could help accelerate NGP growth going forward and be a catalyst for higher valuations. Given the low valuation and defensive characteristics of the underlying business, BTI might act as a hedge against coming market turmoil. The high dividend yield could further limit the potential downside.
Philip Morris Appears Overvalued Compared To Peers
Philip Morris is currently overvalued at 23x earnings, making it less attractive compared to its peers like British American Tobacco. PM excels in heated tobacco with its IQOS but faces slowing growth rates, rising competition, and potential tax increases. Despite strong performance in smokefree products, PM's valuation gap with British American Tobacco is unjustified, even if we expect double-digit growth rates for PM going forward.
British American Tobacco: 3 Reasons to Look Beyond the Yield Before You Buy the Stock
British American Tobacco (BTI 1.84%) is one of the world's largest cigarette makers. That places the company in the consumer staples sector, since cigarette smokers tend to keep buying cigarettes no matter what the economic environment looks like.
The Smartest Dividend Stocks to Buy With $2,000 Right Now
Need investment income? Dividend stocks are obviously your best bet.
This Ultra-High Dividend Stock Is Approaching an 8% Yield: Does That Make It a Buy Right Now?
High dividend yields are a double-edged sword. On the one hand, you can get a sizable amount of cash back from these investments each year.
British American: Total Shareholder Yield Justifies Holding Despite Slow Growth
British American Tobacco p.l.c.'s Q4 and FY 2024 earnings report indicates slow growth ahead due to various headwinds. But its total shareholder yield still makes it a solid hold. The stock's current dividend yield is about 7.8%.
2 Glorious Dividends To Retire In Style, Yields +7.5%
Inflation erodes purchasing power, and retirees must maintain their lifestyle during their golden years. We emphasize deep diversification and reinvesting a portion of collected dividends to combat inflation and ensure growing income for a secure retirement. We discuss our top picks with up to 10% yields.
British American Tobacco: My Largest Traditional Stock, This Is Why
British American Tobacco is my largest stock investment that lies outside the traditional income areas such as BDCs, REITs, and midstream players. After the full 2024 report, BTI has dropped by ~10%. As a result of this, the P/CF has decreased accordingly, reaching 6.6x. The yield has bounced back to ~7.7%.
Fear Fades, Fortunes Rise: British American's 10% Earnings Plunge Is A Buying Beacon
British American Tobacco's recent 10% drop presents a potential buying opportunity. Historical data shows 33% 12-month forward returns after such crashes. Despite negative headline growth, BTI's adjusted revenue grew 1.3% in 2024, and management remains confident in long-term growth targets of 3-5% sales and 4-6% EPS. BTI's current 8X PE ratio is historically undervalued, offering an attractive entry point for investors seeking long-term returns and a high yield near 8%.
Why British American Tobacco Stock Plummeted Today
British American Tobacco (BTI -7.32%) stock got hit with a big sell-off Thursday. The tobacco giant's share price closed out the day down 7.3%, despite gains of 1.04% for the S&P 500 index in the daily session.
