Imperial Brands stock draws support from its GBP 1.45 billion buyback

Published on 09/29/2026 at 08:49 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Imperial Brands stock was last at GBp 2,450.00 on September 28, 2026, with a 0.33 percent daily gain. Morningstar raised fair value to GBp 3,400.

Imperial Brands PLC GB0004544929: Konzernzentrale in Bristol mit Glasfassade — Imperial Brands PLC (GB0004544929) zeigt moderne Konzernzentrale in Bristol mit Glasfassade und weiter Plaza, Illustration mit AI erstellt.

Imperial Brands (ISIN GB0004544929) was last at GBp 2,450.00 on the London Stock Exchange on September 28, 2026, up 0.33 percent on the session. The company is combining that market level with a GBP 1.45 billion buyback and a strategy that still depends heavily on cash generation.

Buyback reaches GBP 1.45 billion

According to Investegate on September 28, 2026, Imperial Brands bought 266,947 ordinary shares for cancellation on September 25 at an average GBp 2,445.11. The transaction leaves 759,934,096 ordinary shares in issue, excluding treasury shares, and forms part of the GBP 1.45 billion repurchase program.

The buyback gives earnings per share a mechanical tailwind as the share count declines. It also provides a concrete capital-return counterweight to the market's concern over combustible tobacco volumes and next-generation product losses.

H1 earnings point to cash returns

Imperial Brands' H1 2026 figures show currency-adjusted tobacco and next-generation product revenue up 1.80 percent, while adjusted EPS rose 5.30 percent to GBp 127.70. Adjusted operating profit increased 0.60 percent on a currency-adjusted basis, and 12-month free cash flow reached GBP 2.6 billion, according to Parqet.

Management confirmed full-year adjusted operating profit growth guidance of 3 percent to 5 percent. Next-generation products grew 7.50 percent in H1 2026, but their contribution remains smaller than the established combustible business, leaving pricing and capital allocation central to the investment case.

Fair value stands above the stock

Morningstar raised its fair value estimate to GBp 3,400 from GBp 3,300 on September 21, 2026. The new estimate stands 38.78 percent above the GBp 2,450.00 reference price, while the stock remains 32.54 percent below its 52-week high of GBp 3,632.04.

Stock stays below yearly high

Imperial Brands was last at GBp 2,450.00 on the London Stock Exchange on September 28, 2026, at 4:42 p.m. London time. The session volume was 849,168 shares, and the 52-week range was GBp 2,434.00 to GBp 3,632.04.