London, March 17, 2026, 13:08 GMT
London-listed British American Tobacco shares held near 4,572 pence on Tuesday after the company disclosed another day of purchases under its buyback programme. The stock moved between 4,542 pence and 4,598 pence, while BAT said it bought 121,379 shares on March 16 at an average 4,577.0247 pence. 1
The fresh disclosure matters because BAT is leaning on cash returns as growth slows. In February, chief executive Tadeu Marroco said he remained committed to “robust cash returns,” and the company reiterated that 2026 should come in at the lower end of its targets for revenue growth, adjusted operating profit and earnings per share, or profit per share. 2
A buyback is simple: the company spends cash on its own stock and cancels the shares, leaving fewer of them in the market. That can lift earnings per share even when sales growth is patchy, but investors usually want proof that the underlying business is moving too.
That is where BAT’s smokeless push comes in. Reuters reported last month that Velo, its nicotine pouch brand, had reached No. 2 in U.S. market share against Philip Morris International’s Zyn and Altria’s On!, with Marroco saying he was “extremely encouraged by the U.S. performance of Velo.” 3
The U.S. remains the key swing factor. BAT told Reuters in February that a potential U.S. import block on some unauthorized disposable vapes could cut the illegal market by as much as a third, though the group said any benefit was unlikely to show up fully before 2027. 4
The broader London market was stronger on Tuesday. The FTSE 100 was up 0.6% by 1042 GMT, while BAT’s shares were roughly flat against Monday’s close. 5
But the risks have not gone away. BAT is facing a London shareholder lawsuit over allegations it failed to properly inform the market about historic sanctions-related business in North Korea, and management has also flagged regulatory pressure in Australia and Bangladesh as drags on 2026. 6
For now, the stock is holding about 6% above where it traded a month ago, yet it still sits below the recent 52-week high of 4,673 pence. The next test is whether buybacks and Velo’s gains can turn into faster profit growth, not just a smaller share count. 1
