Investing.com - British American Tobacco (LON:BATS) jumped midday Monday after a strong vote of confidence from Bank of America (NYSE:BAC).
BofA Global boosted the stock two notches to buy from underperform.
American depositary receipts of British American Tobacco (NYSE:BTI) rose 4%.
BofA cited a moves to slim down the company, a better competitive environment in vaping and reduced U.S. regulatory risks as reasons for the rare double upgrade.
“The company is taking the right actions, shifting away from the status quo of a traditional tobacco company, recognizing the challenges faced in NGPs (new generation products) and implementing the right strategic decisions to compete more eﬀectively in the new fast-evolving world of tobacco,” analyst Mirco Badocco wrote.
The stock is up about 34% year to date.