British American TobaccoBTAFF -0.31%67 FCF Yield % is 5.49 as of Jun. 27, 2026, which is 56% below its 10-year median of 12.46. GuruFocus rates BTAFF with a GF Score™ of 67/100 and a GF Value™ of $36.04 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 49 Tobacco Products companies, British American Tobacco ranks better than 65.31% on this metric.
FCF Yield % is calculated as Free Cash Flow divided by Market Capitalization. It is a financial solvency ratio that compares the free cash flow a company is expected to earn against its market value.
Similar to Earnings Yield %, FCF Yield % is financial solvency ratio. A lower ratio suggests a less attractive investment, indicating that investors might not receive substantial returns in proportion to their investment. Conversely, a high free cash flow yield signals that a company generates sufficient cash to comfortably meet its debts, obligations, and dividend payments, making it a promising investment choice.
British American Tobacco FCF Yield % Related Terms
British American Tobacco FCF Yield % Historical Data
* 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.
For the Tobacco subindustry, British American Tobacco's FCF Yield %, along with its competitors' market caps and FCF Yield % 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 FCF Yield % vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, British American Tobacco's FCF Yield % distribution charts can be found below:
* The bar in red indicates where British American Tobacco's FCF Yield % falls into.
* 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 (BTAFF) has a FCF Yield % of 5.49 as of Jun. 27, 2026. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on British American Tobacco and its competitors. This is 56% below median its historical median of 12.46. Over the past decade, British American Tobacco's FCF Yield % has ranged from 3.77 to 19.84. According to the industry distribution chart, British American Tobacco ranks #17 out of 49 companies in the Tobacco Products industry, placing it in the top 34.7%.
Is British American Tobacco's FCF Yield % too high?
British American Tobacco's current FCF Yield % of 5.49 is 56% below median its 10-year median of 12.46. Over the past 10 years, this metric has ranged from a low of 3.77 to a high of 19.84. The Tobacco Products industry median FCF Yield % is 1.93. British American Tobacco's value of 5.49 is 184.5% above this industry median. Based on the distribution chart, British American Tobacco ranks #17 out of 49 companies in the Tobacco Products industry, which is above the industry midpoint. Overall, British American Tobacco has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does British American Tobacco's FCF Yield % compare to PM and MO?
According to the Tobacco Products industry distribution chart, British American Tobacco ranks #17 out of 49 companies for FCF Yield %. This puts British American Tobacco in the upper half of its industry. The industry median FCF Yield % is 1.93. British American Tobacco's value of 5.49 is 184.5% above this benchmark. Historically, British American Tobacco's own FCF Yield % has ranged from 3.77 to 19.84 over the past decade. While the company's 10-year median is 12.46 vs. the industry median of 1.93, 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 FCF Yield % for a Tobacco Products company?
The median FCF Yield % among Tobacco Products companies is 1.93, based on 49 companies in the industry. Companies in the top quartile (top 25%) have a FCF Yield % significantly above this median, while those in the bottom quartile fall well below. However, FCF Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. British American Tobacco's current FCF Yield % of 5.49 is 184.5% 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 FCF Yield % mean?
A high FCF Yield % can signal that a stock is expensive relative to its fundamentals. FCF Yield is calculated as Free Cash Flow divided by Market Capitalization. View historical data on British American Tobacco and its competitors. For the Tobacco Products industry, the median FCF Yield % is 1.93 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. British American Tobacco's current FCF Yield % is 5.49, which is 56% below median its own 10-year median of 12.46. 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 (BTAFF) is currently considered Significantly Overvalued. The stock's GF Value™ is $36.04, compared to a current price of $61.43 — trading 70.5% above its estimated fair value. The current FCF Yield % is 5.49, which is 56% below median its 10-year median of 12.46 and 184.5% above the Tobacco Products industry median of 1.93. British American Tobacco's overall GF Score™ is 67/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Yield % calculated?
FCF Yield % is calculated from a company's financial statements. For British American Tobacco (BTAFF), the current FCF Yield % is 5.49 as of Jun. 27, 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 (BTAFF) Overvalued in 2026?
Based on GuruFocus' analysis, British American Tobacco stock appears to be overvalued.
The current stock price of $61.43 is trading 70.5% above its estimated GF Value™ of $36.04.
GuruFocus considers British American Tobacco to be Significantly Overvalued.
Key valuation signals for BTAFF:
FCF Yield %: 5.49 (56% below median its 10-year median of 12.46)
GF Value™: $36.04 vs. price of $61.43 (70.5% above fair value)
Industry Position: 184.5% above the Tobacco Products median (#17 of 49)
No single metric tells the full story. See the BTAFF 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.
67GF Score
Get the complete analysis for BTAFF
FCF Yield % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BTAFF has been successfully added to your 
