British American Tobacco (LON:BATS) Shares Pass Above 200 Day Moving Average - Should You Sell?

Key Points

• Technical breakout: Shares passed above the 200‑day moving average (GBX 4,262.48), trading as high as GBX 4,358 and last at GBX 4,323.76 on volume of about 1.15M shares.
• Mixed analyst views: Jefferies reiterated a Buy with a GBX 5,200 target, but the consensus rating is a Hold with an average target of GBX 4,500 (3 Buys, 1 Hold, 1 Sell).
• Fundamentals show contrast: BAT has strong profitability metrics (P/E 12.39, ROE 16.33%, net margin 30.23%) and a £93.68B market cap, but weak liquidity (current ratio 0.87, quick ratio 0.47) and high leverage (debt/equity 74.60).

Shares of British American Tobacco p.l.c. (LON:BATS - Get Free Report) passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of GBX 4,262.48 and traded as high as GBX 4,358. British American Tobacco shares last traded at GBX 4,323.76, with a volume of 1,153,540 shares trading hands.

Wall Street Analysts Forecast Growth

Separately, Jefferies Financial Group restated a "buy" rating and issued a GBX 5,200 price target on shares of British American Tobacco in a research note on Thursday, April 16th. Three analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of GBX 4,500.

British American Tobacco Price Performance

The company has a current ratio of 0.87, a quick ratio of 0.47 and a debt-to-equity ratio of 74.60. The company has a 50 day moving average price of GBX 4,376.88 and a 200 day moving average price of GBX 4,262.48. The company has a market capitalization of £93.68 billion, a P/E ratio of 12.39, a P/E/G ratio of 3.12 and a beta of 0.12.

British American Tobacco (LON:BATS - Get Free Report) last issued its earnings results on Thursday, February 12th. The company reported GBX 176.76 EPS for the quarter. British American Tobacco had a return on equity of 16.33% and a net margin of 30.23%. On average, equities analysts predict that British American Tobacco p.l.c. will post 361.5079365 EPS for the current fiscal year.

Insider Activity at British American Tobacco

In other news, insider Tadeu Marroco sold 9,383 shares of British American Tobacco stock in a transaction that occurred on Monday, March 23rd. The stock was sold at an average price of GBX 4,284, for a total transaction of £401,967.72. Corporate insiders own 0.12% of the company's stock.

About British American Tobacco

BAT was founded in 1902 and was first listed on the London Stock Exchange in 1912. A constituent of the FTSE 100 since its creation in 1984, we have evolved, becoming the only truly global company in our sector. BAT is transforming and is well positioned with a global footprint and multi-category portfolio. Our corporate purpose is to build A Better Tomorrow™, reducing the health impact of our business, by offering adult consumers a greater choice of enjoyable and less risky*† products compared to cigarettes.

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