You want to sell a stock that generates so much cash - and trades at a modest 19 times earnings? They continue to improve margins. The problem with BTI is that they can never really do anything with their cash - so now diversification, etc. But if by some miracle, the chinese market deregulates - BTI will have access to a market dominated by a state owned company bigger than Phillip Morris and BTI combined - and a market which single handedly caters for 40% of the worlds demand. I think you would see a huge spike in the share price if they by some miracle manage to penetrate that market - and in the meantime, you are enjoying decent dividends, margin improvement - and - dare I say it - a strongly trending stock. So why sell?
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