British American Tobacco p.l.c. cash flow to debt ratio of 18.08% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

British American Tobacco p.l.c.'s free cash flow has decreased -39.15% from $9.52G last year to $5.79G, signaling decreasing performance

British American Tobacco p.l.c.'s debt to equity ratio is 0.75, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy

British American Tobacco p.l.c.'s debt has increased relative to shareholder equity from 0.74 last year to 0.75 today, signaling weakened financials

British American Tobacco p.l.c. has a net debt to EBITDA ratio of 2.66x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

British American Tobacco p.l.c.'s interest coverage ratio of 5.91 indicates that earnings with good margin can cover interest payments on company debt

British American Tobacco p.l.c.'s profit margin has increased (154.88%) in the last year from 11.86% to 30.23%, signaling increasing performance

British American Tobacco p.l.c.'s short-term liabilities of $14.52G exceed its short-term assets of $12.68G, signaling financial risk

British American Tobacco p.l.c.'s return on assets of 7.08% is higher than the 5.00% threshold, indicating efficient asset utilization

British American Tobacco p.l.c.'s return on equity of 16.33%, is higher than 15.00%, indicating good performance

British American Tobacco p.l.c.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

British American Tobacco p.l.c. had positive net income in 4.00 out of 5 years, indicating stable and consistent earnings

British American Tobacco p.l.c. has positive free cash flow, indicating the company generates cash after capital expenditures

British American Tobacco p.l.c. has a free cash flow yield of 4.26%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

British American Tobacco p.l.c.'s yearly earnings has increased 153.06% since last year from $3.07G to $7.76G, signaling increasing performance

British American Tobacco p.l.c.'s yearly revenue has decreased -0.99% since last year from $25.87G to $25.61G, signaling decreasing performance

ROIC 8.14% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

British American Tobacco p.l.c.'s 3-year revenue CAGR of -2.53% is negative, indicating declining revenue over the past 3 years

British American Tobacco p.l.c. had revenue growth in only 1.00 out of 5 years, indicating inconsistent revenue performance

British American Tobacco p.l.c. had positive ROE in 4.00 out of 5 years, indicating consistent and reliable returns on equity

British American Tobacco p.l.c. is overvalued relative to its fair value price of 6.61 based on Discounted Cash Flow model

British American Tobacco p.l.c. has an earnings yield of 5.67%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

British American Tobacco p.l.c. is overvalued relative to its fair value price of 23.46 based on EBITDA multiple model

British American Tobacco p.l.c. has an EV/EBITDA ratio of 10.72x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

British American Tobacco p.l.c. is overvalued relative to its fair value price of 29.69 based on Earnings Fair Value model

British American Tobacco p.l.c. has a PEG-ratio under 1 which is considered undervalued

British American Tobacco p.l.c. has a price-to-book ratio of 2.16x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

British American Tobacco p.l.c. has a price-to-sales ratio of 4.01x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue