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British American TobaccoCHIX:BATSL +3.09%71 EV-to-EBITDA is 9.41 as of Jul. 20, 2026, which is 5% below its 10-year median of 9.95. GuruFocus rates CHIX:BATSL with a GF Score™ of 71/100 and a GF Value™ of £27.91 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 39 Tobacco Products companies, British American Tobacco ranks worse than 56.41% on this metric.
EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, British American Tobacco's enterprise value is £132,210 Mil.
British American Tobacco's EBITDA for the trailing twelve months (TTM) ended in Dec. 2025 was £14,056 Mil. Therefore, British American Tobacco's EV-to-EBITDA for today is 9.41.
The historical rank and industry rank for British American Tobacco's EV-to-EBITDA or its related term are showing as below:
CHIX:BATSl'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 3.12 Med: 9.95 Max: 16.21
Current: 9.41
During the past 13 years, the highest EV-to-EBITDA of British American Tobacco was 16.21. The lowest was 3.12. And the median was 9.95.
CHIX:BATSl's EV-to-EBITDA is ranked worse than 56.41% of 39
companies
in the Tobacco Products industry
Industry Median: 9.33
vs CHIX:BATSl: 9.41
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).
British American Tobacco (CHIX:BATSl) EV-to-EBITDA Explanation
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
British American Tobacco's PE Ratio (TTM) for today is calculated as:
British American Tobacco's share price for today is £46.585.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. British American Tobacco's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2025 was £3.491.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
CHIX:BATSL vs PM, MO, TPB: EV-to-EBITDA Comparison
For the Tobacco subindustry, British American Tobacco's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
British American Tobacco EV-to-EBITDA vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, British American Tobacco's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where British American Tobacco's EV-to-EBITDA falls into.
British American Tobacco's current Enterprise Value is £132,210 Mil.
For company reported semi-annually, GuruFocus uses latest annual data as the TTM data. British American Tobacco's EBITDA for the trailing twelve months (TTM) ended in Dec. 2025 was £14,056 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
British American Tobacco (CHIX:BATSL) has a EV-to-EBITDA of 9.41 as of Jul. 20, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on British American Tobacco. This is near median its historical median of 9.95. Over the past decade, British American Tobacco's EV-to-EBITDA has ranged from 3.12 to 16.21. According to the industry distribution chart, British American Tobacco ranks #22 out of 39 companies in the Tobacco Products industry, placing it in the top 56.4%.
Is British American Tobacco's EV-to-EBITDA too high?
British American Tobacco's current EV-to-EBITDA of 9.41 is near median its 10-year median of 9.95. Over the past 10 years, this metric has ranged from a low of 3.12 to a high of 16.21. The Tobacco Products industry median EV-to-EBITDA is 9.33. British American Tobacco's value of 9.41 is 0.9% above this industry median. Based on the distribution chart, British American Tobacco ranks #22 out of 39 companies in the Tobacco Products industry, which is below the industry midpoint. Overall, British American Tobacco has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does British American Tobacco's EV-to-EBITDA compare to PM and MO?
According to the Tobacco Products industry distribution chart, British American Tobacco ranks #22 out of 39 companies for EV-to-EBITDA. This places British American Tobacco in the lower half of its industry. The industry median EV-to-EBITDA is 9.33. British American Tobacco's value of 9.41 is 0.9% above this benchmark. Historically, British American Tobacco's own EV-to-EBITDA has ranged from 3.12 to 16.21 over the past decade. While the company's 10-year median is 9.95 vs. the industry median of 9.33, British American Tobacco has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBITDA for a Tobacco Products company?
The median EV-to-EBITDA among Tobacco Products companies is 9.33, based on 39 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. British American Tobacco's current EV-to-EBITDA of 9.41 is 0.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on British American Tobacco. For the Tobacco Products industry, the median EV-to-EBITDA is 9.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. British American Tobacco's current EV-to-EBITDA is 9.41, which is near median its own 10-year median of 9.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is British American Tobacco stock overvalued right now?
Based on GuruFocus' analysis, British American Tobacco (CHIX:BATSL) is currently considered Significantly Overvalued. The stock's GF Value™ is £27.91, compared to a current price of £46.59 — trading 66.9% above its estimated fair value. The current EV-to-EBITDA is 9.41, which is near median its 10-year median of 9.95 and 0.9% above the Tobacco Products industry median of 9.33. British American Tobacco's overall GF Score™ is 71/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For British American Tobacco (CHIX:BATSL), the current EV-to-EBITDA is 9.41 as of Jul. 20, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is British American Tobacco (CHIX:BATSL) Overvalued in 2026?
Based on GuruFocus' analysis, British American Tobacco stock appears to be overvalued.
The current stock price of £46.59 is trading 66.9% above its estimated GF Value™ of £27.91.
GuruFocus considers British American Tobacco to be Significantly Overvalued.
Key valuation signals for CHIX:BATSL:
EV-to-EBITDA: 9.41 (near median its 10-year median of 9.95)
GF Value™: £27.91 vs. price of £46.59 (66.9% above fair value)
Industry Position: 0.9% above the Tobacco Products median (#22 of 39)
No single metric tells the full story. See the CHIX:BATSL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The third-largest tobacco company by volume, British American Tobacco sold 465 billion cigarettes in 2025. Its leading brands are Dunhill, Kent, Pall Mall, Lucky Strike, and Rothmans in cigarettes. Its ownership of the Camel, Natural American Spirit, and Newport brands are limited to the US. In next-generation products, the company has the Vuse brand in vaping, Glo in heated tobacco, and Velo in modern oral tobacco. The company also owns a 22.9% stake in ITC limited, the largest Indian cigarette company.
71GF Score
Get the complete analysis for CHIX:BATSL
EV-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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