British American TobaccoBTAFF +5.69%67 PB Ratio is 2.20 as of Jun. 30, 2026, which is 93% above its 10-year median of 1.14. GuruFocus rates BTAFF with a GF Score™ of 67/100 and a GF Value™ of $38.36 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 42 Tobacco Products companies, British American Tobacco ranks better than 54.76% on this metric.
British American Tobacco PLC stock PB Ratio (=2.14) is close to 5-year high of 2.21.
The historical rank and industry rank for British American Tobacco's PB Ratio or its related term are showing as below:
BTAFF'
s PB Ratio Range Over the Past 10 Years
Min: 0.68 Med: 1.14 Max: 18.94
Current: 2.14
During the past 13 years, British American Tobacco's highest PB Ratio was 18.94. The lowest was 0.68. And the median was 1.14.
BTAFF's PB Ratio is ranked better than 54.76% of 42
companies
in the Tobacco Products industry
Industry Median: 2.57
vs BTAFF: 2.14
During the past 12 months, British American Tobacco's average Book Value Per Share Growth Rate was -2.20% per year.
During the past 3 years, the average Book Value Per Share Growth Rate was -13.30% per year.
During the past 5 years, the average Book Value Per Share Growth Rate was -6.20% per year.
During the past 10 years, the average Book Value Per Share Growth Rate was 17.00% per year.
During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of British American Tobacco was 276.10% per year. The lowest was -49.80% per year. And the median was 6.00% per year.
Back to Basics: PB Ratio
British American Tobacco (OTCPK:BTAFF) PB Ratio Explanation
The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.
Be Aware
Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.
* 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 PB Ratio, along with its competitors' market caps and PB 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 PB Ratio vs Tobacco Products Industry
For the Tobacco Products industry and Consumer Defensive sector, British American Tobacco's PB Ratio distribution charts can be found below:
* The bar in red indicates where British American Tobacco's PB Ratio falls into.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.
* 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.
It can also be calculated from the numbers for the whole company:
A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.
British American Tobacco (BTAFF) has a PB Ratio of 2.20 as of Jun. 30, 2026. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on British American Tobacco and its competitors. This is 93% above median its historical median of 1.14. Over the past decade, British American Tobacco's PB Ratio has ranged from 0.68 to 18.94. According to the industry distribution chart, British American Tobacco ranks #19 out of 42 companies in the Tobacco Products industry, placing it in the top 45.2%.
Is British American Tobacco's PB Ratio too high?
British American Tobacco's current PB Ratio of 2.20 is 93% above median its 10-year median of 1.14. Over the past 10 years, this metric has ranged from a low of 0.68 to a high of 18.94. The Tobacco Products industry median PB Ratio is 2.57. British American Tobacco's value of 2.20 is 14.4% below this industry median. Based on the distribution chart, British American Tobacco ranks #19 out of 42 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 PB Ratio compare to PM and MO?
According to the Tobacco Products industry distribution chart, British American Tobacco ranks #19 out of 42 companies for PB Ratio. This puts British American Tobacco in the upper half of its industry. The industry median PB Ratio is 2.57. British American Tobacco's value of 2.20 is 14.4% below this benchmark. Historically, British American Tobacco's own PB Ratio has ranged from 0.68 to 18.94 over the past decade. While the company's 10-year median is 1.14 vs. the industry median of 2.57, 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 PB Ratio for a Tobacco Products company?
The median PB Ratio among Tobacco Products companies is 2.57, based on 42 companies in the industry. Companies in the top quartile (top 25%) have a PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. British American Tobacco's current PB Ratio of 2.20 is 14.4% 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 PB Ratio mean?
A high PB Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on British American Tobacco and its competitors. For the Tobacco Products industry, the median PB Ratio is 2.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. British American Tobacco's current PB Ratio is 2.20, which is 93% above median its own 10-year median of 1.14. 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 $38.36, compared to a current price of $64.93 — trading 69.3% above its estimated fair value. The current PB Ratio is 2.20, which is 93% above median its 10-year median of 1.14 and 14.4% below the Tobacco Products industry median of 2.57. 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 PB Ratio calculated?
PB Ratio is calculated from a company's financial statements. For British American Tobacco (BTAFF), the current PB Ratio is 2.20 as of Jun. 30, 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 $64.93 is trading 69.3% above its estimated GF Value™ of $38.36.
GuruFocus considers British American Tobacco to be Significantly Overvalued.
Key valuation signals for BTAFF:
PB Ratio: 2.20 (93% above median its 10-year median of 1.14)
GF Value™: $38.36 vs. price of $64.93 (69.3% above fair value)
Industry Position: 14.4% below the Tobacco Products median (#19 of 42)
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
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