BTAFF (British American Tobacco) Dividend Payout Ratio: 0.63 (As of Dec. 2025) — Near Median

What is British American Tobacco Dividend Payout Ratio?

British American Tobacco BTAFF -0.31% 67 Dividend Payout Ratio is 0.63 as of Dec. 2025, which is 3% below its 10-year median of 0.65. 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 29 Tobacco Products companies, British American Tobacco ranks better than 51.72% on this metric.

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. British American Tobacco's Dividend Payout Ratio for the months ended in Dec. 2025 was 0.63.

The historical rank and industry rank for British American Tobacco's Dividend Payout Ratio or its related term are showing as below:

BTAFF' s Dividend Payout Ratio Range Over the Past 10 Years
Min: 0.59 Med: 0.65 Max: 0.77
Current: 0.68

During the past 13 years, the highest Dividend Payout Ratio of British American Tobacco was 0.77. The lowest was 0.59. And the median was 0.65.

BTAFF's Dividend Payout Ratio is ranked better than
51.72% of 29 companies
in the Tobacco Products industry
Industry Median: 0.68 vs BTAFF: 0.68

As of today (2026-06-28), the Dividend Yield % of British American Tobacco is 5.27%.

During the past 13 years, the highest Trailing Annual Dividend Yield of British American Tobacco was 10.10%. The lowest was 3.00%. And the median was 6.66%.

British American Tobacco's Dividends per Share for the months ended in Dec. 2025 was $1.61.

During the past 12 months, British American Tobacco's average Dividends Per Share Growth Rate was 2.00% per year. During the past 3 years, the average Dividends Per Share Growth Rate was 3.30% per year. During the past 5 years, the average Dividends Per Share Growth Rate was 2.90% per year. During the past 10 years, the average Dividends Per Share Growth Rate was 3.40% per year.

During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of British American Tobacco was 22.50% per year. The lowest was -79.80% per year. And the median was 7.65% per year.

The growth rate is calculated with least square regression.

For more information regarding to dividend, please check our Dividend Page.

* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.

British American Tobacco (OTCPK:BTAFF) Dividend Payout Ratio Explanation

In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.

British American Tobacco Dividend Payout Ratio Related Terms

British American Tobacco Dividend Payout Ratio Historical Data

* Premium members only.

The historical data trend for British American Tobacco's Dividend Payout Ratio can be seen below:

* 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 Dividend Payout Ratio Chart

British American Tobacco Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Dividend Payout Ratio

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0.66

0.59

0.62

0.65

0.68

British American Tobacco Semi-Annual Data
	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23	Jun24	Dec24	Jun25	Dec25
Dividend Payout Ratio	Get a 7-Day Free Trial															0.60	0.70	0.61	0.74	0.63

BTAFF vs PM, MO, TPB: Dividend Payout Ratio Comparison

For the Tobacco subindustry, British American Tobacco's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio 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 Dividend Payout Ratio vs Tobacco Products Industry

For the Tobacco Products industry and Consumer Defensive sector, British American Tobacco's Dividend Payout Ratio distribution charts can be found below:

* The bar in red indicates where British American Tobacco's Dividend Payout Ratio falls into.

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67GF Score

British American Tobacco PLC BTAFF

Dividend Payout Ratio is just one metric. See GF Score™, valuation, warning signs, and more.

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British American Tobacco Dividend Payout Ratio Calculation

British American Tobacco's Dividend Payout Ratio for the fiscal year that ended in Dec. 2025 is calculated as

Dividend Payout Ratio	=	Dividends per Share (A: Dec. 2025 )	/	EPS without NRI (A: Dec. 2025 )
	=	3.216	/	4.714
	=	0.68

British American Tobacco's Dividend Payout Ratio for the quarter that ended in Dec. 2025 is calculated as

Dividend Payout Ratio	=	Dividends per Share (Q: Dec. 2025 )	/	EPS without NRI (Q: Dec. 2025 )
	=	1.608	/	2.545
	=	0.63

Frequently Asked Questions Learn more about Dividend Payout Ratio →

What does a Dividend Payout Ratio of 0.63 mean?

British American Tobacco (BTAFF) has a Dividend Payout Ratio of 0.63 as of Dec. 2025. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on British American Tobacco and its competitors. This is near median its historical median of 0.65. Over the past decade, British American Tobacco's Dividend Payout Ratio has ranged from 0.59 to 0.77. According to the industry distribution chart, British American Tobacco ranks #14 out of 29 companies in the Tobacco Products industry, placing it in the top 48.3%.

Is British American Tobacco's Dividend Payout Ratio too high?

British American Tobacco's current Dividend Payout Ratio of 0.63 is near median its 10-year median of 0.65. Over the past 10 years, this metric has ranged from a low of 0.59 to a high of 0.77. The Tobacco Products industry median Dividend Payout Ratio is 0.68. British American Tobacco's value of 0.63 is 7.4% below this industry median. Based on the distribution chart, British American Tobacco ranks #14 out of 29 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 Dividend Payout Ratio compare to PM and MO?

According to the Tobacco Products industry distribution chart, British American Tobacco ranks #14 out of 29 companies for Dividend Payout Ratio. This puts British American Tobacco in the upper half of its industry. The industry median Dividend Payout Ratio is 0.68. British American Tobacco's value of 0.63 is 7.4% below this benchmark. Historically, British American Tobacco's own Dividend Payout Ratio has ranged from 0.59 to 0.77 over the past decade. While the company's 10-year median is 0.65 vs. the industry median of 0.68, British American Tobacco has consistently been below 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 Dividend Payout Ratio for a Tobacco Products company?

The median Dividend Payout Ratio among Tobacco Products companies is 0.68, based on 29 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. British American Tobacco's current Dividend Payout Ratio of 0.63 is 7.4% below 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 Dividend Payout Ratio mean?

A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on British American Tobacco and its competitors. For the Tobacco Products industry, the median Dividend Payout Ratio is 0.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. British American Tobacco's current Dividend Payout Ratio is 0.63, which is near median its own 10-year median of 0.65. 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 Dividend Payout Ratio is 0.63, which is near median its 10-year median of 0.65 and 7.4% below the Tobacco Products industry median of 0.68. 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 Dividend Payout Ratio calculated?

Dividend Payout Ratio is calculated from a company's financial statements. For British American Tobacco (BTAFF), the current Dividend Payout Ratio is 0.63 as of Dec. 2025. 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:

Dividend Payout Ratio: 0.63 (near median its 10-year median of 0.65)
GF Value™: $36.04 vs. price of $61.43 (70.5% above fair value)
GF Score™: 67/100 with 6 warning signs
Industry Position: 7.4% below the Tobacco Products median (#14 of 29)

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.

British American Tobacco Business Description

Industry Consumer Defensive Tobacco Products

Comparable Companies LSE:IMB PM MO TSE:2914 NSE:ITC XKRX:033780 XZIM:BAT.ZW HKSE:06969 ISX:HMSP BOM:500163 XPRA:TABAK HKSE:06055 CAI:EAST ISX:GGRM TPB ATH:KARE UVV KAR:PAKT AIIR DHA:BATBC

Other Exchanges BTI:South Africa BTI:USA BATSl:UK BATS:UK BMT:Germany B1TI34:Brazil BMT:Bulgaria

Address Globe House, 4 Temple Place, London, GBR, WC2R 2PG

Website https://www.bat.com

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

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Dividend Payout Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$61.43

Price

$36.04

GF Value

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