In a year that tobacco stocks have been on the up and up, Altria has been a relative laggard. There's a good reason for it too: it's challenges in making inroads into the vaping market. For now, though, its projected earnings growth and attractive forward P/E and forward dividend yield compared with peers work in its favour.
The US Food and Drug Administration (FDA) has approved the sale of Juul's e-cigarette device and its refill cartridges in tobacco and menthol flavors. The Washington, DC-based private firm said on Thursday the FDA has determined its products are "appropriate for the protection of public health,” meeting the statutory requirement for introducing new tobacco products onto the US market.
Here is how Altria (MO) and Carlsberg AS (CABGY) have performed compared to their sector so far this year.
Altria (NYSE: MO) makes some of the world's most dangerous products.
MO leans on pricing power to lift profits, offsetting cigarette volume drops and regulatory headwinds.
Altria (MO) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.
Altria (MO) closed at $57.75 in the latest trading session, marking a -3.01% move from the prior day.
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Zacks.com users have recently been watching Altria (MO) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
MO is gaining ground with strong Marlboro pricing, smoke-free growth, and solid value, appealing to income-focused investors.
Key Points in This Article: Dividend investing provides steady income and potential capital growth, with high-yield stocks offering reliable cash flow for reinvestment or personal use.
Altria Group, Inc.'s consistent dividend growth continues, with a 56th consecutive increase expected soon, highlighting its shareholder commitment despite industry headwinds. Key metrics—free cash flow, payout ratio, and dividend per share—have all improved since 2016, even as the core business faces decline. I forecast a 4% dividend increase, pushing the MO stock yield to 7%, supported by strong cash flow.