British American Tobacco (LON:BATS) Stock Price Down 8.8% - Should You Sell?

British American Tobacco p.l.c. (LON:BATS) saw its stock price drop 8.8% during trading on Friday. The shares reached a low of GBX 3,058 ($38.43) before closing at GBX 3,095 ($38.90). The trading volume for the day was 7,627,224 shares, which is significantly lower, representing a decline of 74% from the average trading volume of 29,680,900 shares. This decline follows a previous closing price of GBX 3,394 ($42.65).

Wall Street Analysts Forecast Growth

In related news, JPMorgan Chase & Co. reaffirmed a "neutral" rating for British American Tobacco and set a price target of GBX 2,800 ($35.19) in a research note issued on December 12th.

Current Trading Metrics

The company has a fifty-day simple moving average of GBX 3,020.61 and a two-hundred-day simple moving average of GBX 2,866.23. Financial indicators show a current ratio of 0.88, a quick ratio of 0.47, and a high debt-to-equity ratio of 74.63. British American Tobacco has a market capitalization of £68.03 billion and a price-to-earnings (P/E) ratio of -4.99, along with a P/E/G ratio of 3.12 and a beta of 0.27.

Earnings Update

British American Tobacco recently announced its quarterly earnings on February 13th, reporting an earnings per share (EPS) of GBX 364.30 ($4.58) for the quarter. The company has experienced a negative return on equity of 25.94% and a negative net margin of 52.84%. Analysts currently predict an EPS of approximately 361.51 for the fiscal year.

Dividend Announcement

The company declared a recent dividend payment, which was issued on February 3rd to shareholders recorded as of December 19th. This dividend was GBX 58.88 ($0.74), up from a previous dividend of GBX 57.72. The ex-dividend date was also December 19th, and this dividend represents a yield of 2.54%, with a payout ratio currently at -38.08%.

Company Overview

British American Tobacco was established in 1902 and has been listed on the London Stock Exchange since 1912. It is a part of the FTSE 100 index since its inception in 1984 and aims to maintain a global presence with a diverse portfolio.

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