London, Feb 10, 2026, 09:34 GMT — Regular session.
- Imperial Brands slipped at the open in London, mirroring losses in other blue-chip names.
- British American Tobacco slipped as well, joining its tobacco peers in the red.
- Investors are watching both the dividend schedule and the timing of the next trading update.
Imperial Brands (IMB.L) edged down 1.1% to 3,258 pence, scraping close to session lows after dropping early to 3,235. Shares started out at 3,274 pence and volume stayed thin. 1
Not much in the way of fresh company news here, so the stock is behaving more like a stand-in for cash returns as the session gets going. London’s FTSE 100 slipped roughly 0.5% out of the gate, BP dragging the blue-chip index lower after the oil major hit pause on buybacks. 2
BP dropping its quarterly buybacks has investors zeroing in on balance sheets and payouts—areas where tobacco names often draw attention. “The move to pause the buyback is the right long-term call,” said RBC’s Biraj Borkhataria, citing de-leveraging as the key factor. 3
Imperial’s slide wasn’t the only one. British American Tobacco dropped 1.5% to 4,391 pence, lagging in early trading as well. 4
Tobacco stocks have a reputation as defensive plays: stable cash, payouts, repurchases. Still, when rates shift or investors rethink risk, these names can tumble even without fresh headlines.
After fresh volatility linked to UK bonds and political jitters, market attention zeroed in on that sensitivity. Gilt yields jumped on Monday, sterling lost ground, as investors questioned Prime Minister Keir Starmer’s prospects—though those swings eased off before the session closed. 5
Imperial’s lineup covers traditional cigarettes and tobacco, but lately the company’s been moving further into “next-generation products” like vapes and oral nicotine. Winston and Davidoff are among its cigarette brands, while Rizla shows up in papers, and in the newer segments there’s blu, Pulze, and Zone, Reuters data shows. 6
Imperial has been aggressive with buybacks in its drive to reward shareholders. The company’s October trading update reiterated that full-year FY25 guidance remains intact, and it added a fresh £1.45 billion buyback commitment for FY26. 7
European equities didn’t do much, with indexes knocked around by sharp swings in individual stocks and a patchwork of earnings reports to wade through. BP fell after its buyback call, weighing on the broader market, but luxury shares managed to prop things up a bit. 8
The bear case for Imperial looks well-worn: if bond yields climb quickly, or sterling takes another hit, or regulators spring a surprise, income stocks like this can fall out of fashion quickly. Tobacco firms, especially, rarely get second chances when sentiment shifts.
Imperial’s ex-dividend date hits Feb. 19, the deadline for investors looking to lock in the upcoming payout. The final dividend, pending shareholder approval, lands March 31. Investors will be eyeing the company’s next trading update, set for April 14. 9
