Investment Idea: British American Tobacco скачать в хорошем качестве

Investment Idea: British American Tobacco

We believe BATS could consistently grow earnings over the long term despite volume declines in the combustible segment. The group is a credible player in the Next Generation Products (NGP) market. We feel that medium-term earnings are likely to be supported by continuous investments in NGP as the products mature and improve profitability. Regardless of the growth outlook that mirrors the broader staple market, the group is trading at a significant discount to staple counters. On a forward P/E basis, the group trades at a 33.3% discount to its long-term average of 11.7 times and a 35.3% discount to its FactSet peers. Thus, we maintain an overweight position for the counter. For more information about this counter, please contact your PSG Wealth adviser.