British American Tobacco PLC ADR
BTI: XNYS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$93.00 | Fsnph | Bscdjnyw |
British American Tobacco’s Diversified Alternatives Approach Fails to Buoy Its Competitive Edge
Business Strategy and Outlook
British American Tobacco is the world’s second largest tobacco company by volume, with cigarette sales to over 180 countries. But with global cigarette consumption declining about 5% per year, BAT has invested in several next-generation products that can deliver nicotine with reduced risk. This strategy makes sense, but we think the firm has placed too many bets, leading to it becoming a “jack of all trades, master of none.”