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2 Reasons to Buy British American Tobacco Stock at the End of 2024 and 2 Reasons to Avoid It for Now

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As 2024 comes to a close, British American Tobacco's (NYSE: BTI) stock is sitting on a roughly 25% year-to-date price gain. That's a pretty rapid advance, particularly for a company that is largely viewed as an income investment,
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The article from MSN Money discusses the investment potential of British American Tobacco (BAT) stock as of late 2024. It outlines two reasons to buy the stock: firstly, BAT's strategic shift towards non-combustible products like e-cigarettes and heated tobacco, aiming for these to constitute 50% of its revenue by 2035, which could diversify its income sources away from traditional cigarettes. Secondly, the stock's high dividend yield, currently at 9.7%, offers an attractive return for income-focused investors. However, there are two reasons to avoid the stock: the ongoing decline in cigarette sales, with a 5.5% drop in the first half of 2023, signaling potential future revenue challenges. Additionally, the company faces significant regulatory and legal risks, including potential bans on flavored e-cigarettes and ongoing litigation related to health issues from smoking, which could impact its financial stability and stock performance.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/money/top-stocks/2-reasons-to-buy-british-american-tobacco-stock-at-the-end-of-2024-and-2-reasons-to-avoid-it-for-now/ar-AA1vtL2f ]
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