BTAFF Dividend Yield 2026: British American Tobacco p.l.c.

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Data last updated: Sep 06, 2026

Snapshot (as of Sep 06, 2026): British American Tobacco p.l.c. (BTAFF) pays a $2.43 annual dividend, yielding 5.88% at $54.91/share. Next ex-dividend date 2026-12-29. Source: Yahoo Finance, aggregated by MerryDiv.

Dividend Yield: 5.88%

Annual Dividend: $2.43 per share

Payout Ratio: 81.7%

Ex-Dividend Date: 2026-12-29

Sector: Consumer Defensive

Years of Dividend History: 16

About British American Tobacco p.l.c. Dividend

British American Tobacco p.l.c. dividend income comes from one of the world's largest tobacco and nicotine companies, with brands like Lucky Strike, Newport, and Dunhill spanning combustible cigarettes and next-generation products such as vapour devices and modern oral pouches. The current yield stands at 5.88%, with trailing annual payments of $2.4264 per share over the past twelve months. The next ex-dividend date is December 29, 2026. At a beta of 0.128, BTAFF stock moves far less than the broader market, which suits income investors who prioritize price stability over capital appreciation.

Dividend Safety

British American Tobacco p.l.c. pays out 81.7% of earnings as dividends, a payout ratio classified as high (above 75%). That level is supported by demand for tobacco and nicotine products across both traditional combustibles and a growing portfolio of next-generation categories including tobacco heating systems and modern oral pouches. British American Tobacco p.l.c. dividend safety faces pressure from the fact that an 81.7% payout leaves limited room to absorb earnings declines, and the history table shows at least one year-over-year dividend decline exceeding 5%, confirming the payout is not immune to cuts.

British American Tobacco p.l.c. (BTAFF) Dividend Growth Rate, CAGR, and History

British American Tobacco p.l.c. dividend history shows a CAGR of 3.7% per year from 2019 to 2025. Per-share payments grew from $2.5951 to $3.2200 over that window (2026 data is partial and excluded from the CAGR calculation). The largest annual increase in the window was 10.5% in 2023, while the history also contains at least one year-over-year decline exceeding 5%, meaning growth has not been linear.

British American Tobacco p.l.c. Dividend Growth Rate (CAGR)

Period	CAGR	From	To
3-Year	+7.0%	$2.63 (2022)	$3.22 (2025)
5-Year	+3.6%	$2.70 (2020)	$3.22 (2025)
10-Year	+3.6%	$2.26 (2015)	$3.22 (2025)

Is British American Tobacco p.l.c. a Good Dividend Stock?

BTAFF stock fits income-focused investors who want a high yield from a global tobacco and nicotine business and can accept an elevated payout ratio. The yield of 5.88% is classified as high (above 4%) and sits above the 5-year average of 5.35%, which means the current entry point offers more income than the historical norm. The trade-off is clear: an 81.7% payout ratio leaves little cushion, and the dividend has declined in at least one year within the available history. Growth at 3.7% per year is real but slow. What an investor gets is above-average current income; what they accept is limited room for error on the earnings side.

Recent British American Tobacco p.l.c. Dividend Payments

Payment Date	Amount per Share
2026-12-29	$0.8099
2026-10-02	$0.8099
2026-07-10	$0.8221
2026-03-27	$0.8142
2025-12-30	$0.8092
2025-10-03	$0.8096
2025-06-27	$0.8239
2025-03-28	$0.7773
2024-12-20	$0.7384
2024-09-27	$0.7886

British American Tobacco p.l.c. Annual Dividend History

Year	Total Dividends
2026	$3.2561
2025	$3.2200
2024	$3.0170
2023	$2.9030
2022	$2.6274

Related Consumer Defensive Dividend Stocks

• WMT — Walmart Inc. (0.91% yield)
• COST — Costco Wholesale Corporation (0.60% yield)
• KO — The Coca-Cola Company (2.36% yield)
• PG — The Procter & Gamble Company (2.93% yield)
• PM — Philip Morris International Inc. (3.22% yield)
• NSRGY — Nestlé S.A. (3.96% yield)

Frequently Asked Questions

Does BTAFF pay dividends?

Yes, British American Tobacco p.l.c. (BTAFF) pays a $2.43 annual dividend per share, yielding 5.88%.

What is British American Tobacco p.l.c.'s current dividend yield?

British American Tobacco p.l.c.'s current dividend yield is 5.88%, above its 5-year average of 5.35%. That gap means the stock is currently offering more income than it has historically, based on trailing annual payments of $2.4264 per share.

Has British American Tobacco p.l.c. ever cut its dividend?

Yes, the available history shows at least one year-over-year decline exceeding 5% within the 2019 to 2025 window. The per-share dividend fell from $2.9304 in 2021 to $2.6274 in 2022, a decline of roughly 10.3%.

How fast has British American Tobacco p.l.c. grown its dividend?

British American Tobacco p.l.c. has grown its dividend at a compound annual growth rate (CAGR) of 3.7% per year from 2019 to 2025. Per-share payments rose from $2.5951 to $3.2200 over that period, though growth was not uninterrupted.

Is British American Tobacco p.l.c. a good dividend stock for income investors?

BTAFF carries a 5.88% yield, classified as high (above 4%), which is the defining characteristic for income-focused investors. The trade-off is an 81.7% payout ratio and a history that includes at least one dividend cut, so the income level comes with meaningful payout risk.

Is British American Tobacco p.l.c. dividend safe?

The 81.7% payout ratio is high (above 75%), which limits the margin of safety. Demand for tobacco and nicotine products across both traditional and next-generation categories supports current payments, but the history shows the dividend has been cut before, so British American Tobacco p.l.c. dividend safety is not unconditional.

What type of investor is British American Tobacco p.l.c. best suited for?

BTAFF suits income-focused investors who prioritize current yield over dividend growth. A beta of 0.128 means the stock moves very little relative to the market, which appeals to investors who want price stability alongside a 5.88% yield.

How does British American Tobacco p.l.c. compare to its own historical yield?

The current yield of 5.88% is above the 5-year average of 5.35%, meaning the stock is offering more income than its own historical norm. That gap of roughly 0.5 percentage points reflects a higher yield entry point relative to recent history.

Latest BTAFF News

• British American Tobacco: The Pullback Is A Gift For Income Investors (NYSE:BTI) - Seeking Alpha — Seeking Alpha
• British American Tobacco: Not Simply Philip Morris' Lagging Sibling - Seeking Alpha — Seeking Alpha
• British American Tobacco: Time To Quit (Downgrade) (NYSE:BTI) - Seeking Alpha — Seeking Alpha

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