A meaningful DCF fair value isn't available for British American Tobacco p.l.c. (BTI) — its free-cash-flow and net-debt profile makes a standard discounted-cash-flow model unreliable (common for loss-makers and high-net-debt or recently-public companies), and no analyst DCF is published. Explore your own assumptions with the editable model below.
What would today's price require?
$52.88 is justified only if free cash flow grows about -7.7% a year (fading to 2.5% long-run) at a 7.5% required return — faster than the company has actually grown.
The FMP figure is a third-party point estimate. Its cash-flow forecast, discount rate, terminal growth, and valuation date are not included in the stored response, so TGMCharts presents it only as a reference—not as an intrinsic-value conclusion or price target.
Current Price
$52.88
Market-Implied Growth
-7.7%/yr
vs -9.3% 5Y actual
Base-Case Model Value
N/A
Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for BTI (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.
Base inputs: FCF $11.9B · 2.16B shares · net debt $41.3B
Estimated Fair Value
$106.96
+102.3% vs $52.88
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $52.88; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 5.5% | $145 | $165 | $192 | $230 | $287 |
| 6.5% | $111 | $124 | $139 | $159 | $185 |
| 7.5% | $89.23 | $97.30 | $107 | $119 | $133 |
| 8.5% | $73.46 | $79.11 | $85.69 | $93.47 | $103 |
| 9.5% | $61.64 | $65.78 | $70.52 | $75.97 | $82.32 |
