London, Feb 25, 2026, 08:01 GMT — Regular session
- Shares of British American Tobacco picked up 0.02% to 4,558p early in London trade.
- The company picked up 94,239 shares on Feb. 24, with plans to cancel the lot.
- Attention shifts now to a U.S. trade panel ruling expected in March concerning disposable-vape imports, along with BAT’s ex-dividend date coming up on March 26.
Shares of British American Tobacco (BATS.L) edged up 0.02% to 4,558 pence as of 0801 GMT on Wednesday, sticking within a narrow 4,558-4,573p band after the latest share buyback news. The company reported purchasing 94,239 shares on Tuesday, paying between 4,515p and 4,608p, with plans to cancel the repurchased stock under its ongoing programme.
The increase isn’t big, yet it comes as capital returns matter more than ever to investors. In a stretch where business operations get messy, buybacks and dividends do the heavy lifting, offering a straightforward narrative.
BAT faces a split verdict from the market—steady cigarette cash flows on one side, and hopes pinned to emerging nicotine products on the other. With little noise on the tape, the buyback steps in and does most of the talking.
By cutting down on its share count through cancellations, a company can boost earnings per share—assuming profits don’t slip. It’s also a nod to investors that management isn’t backing away from its shareholder-return approach, despite ongoing investments in new offerings.
BAT shares barely budged alongside UK blue chips at the open, with the stock’s movement tied largely to its own dynamics, not a wider market trend.
Earlier this month, BAT unveiled an AI-focused efficiency push that could lead to job cuts, as it posted improved annual profit on the back of Velo’s expanding U.S. market share. “We are extremely encouraged by the U.S. performance of Velo,” Chief Executive Tadeu Marroco said. Interim finance chief Javed Iqbal sounded a note of caution: “It will have an impact on the size of the organisation.” BAT says its Velo pouches are chipping away at market share held by Philip Morris International’s Zyn and Altria’s On! in the U.S. Reuters
The U.S. vaping debate remains the key variable. Earlier this month, Marroco told Reuters that if the U.S. were to block some disposable vape imports, it could slash the unregulated e-cigarette market by roughly a third. Still, he added, “it will not be until early next year that you have a material impact on that.” BAT, for its part, said it’s looking for a full ruling from the U.S. International Trade Commission in March, after which a 60-day presidential review would follow. Reuters
Income is still front and center. Hargreaves Lansdown data puts BAT’s dividend yield at roughly 5.27%. The next 61.26 pence quarterly dividend goes ex-dividend March 26, so anyone buying on or after that date won’t get this payout. Payment lands May 7.
The real focus for investors: dates, not talk. The next milestone is the U.S. vaping trade ruling in March, along with the March 26 ex-dividend date. If enforcement on illegal vapes changes, that could spark a quicker reaction than yet another boilerplate buyback announcement.
