It is the best of both investing worlds. Altria Group Inc. (NYSE: MO | MO Price Prediction) stock is outperforming the market so far this year. And it has a forward yield of 6.95%. To make matters even better, Altria has raised its dividend for 56 straight years. It has a rock-solid balance sheet and generates immense amounts of cash.
Altria’s shares are up 6% this year, and the S&P 500 is little more than flat. Talk of Greenland and trade wars has not affected the stock at all. In fact, because it is seen as a safe-haven stock, these trends have probably helped the run up.
What Altria Has Going for It
Altria offers several advantages to shareholders. For example, although fewer people smoke today than several decades ago, those who do smoke have not been deterred by the rising price of cigarettes. A pack of cigarettes costs about $10, depending on the state tax.
Altria owns Marlboro, the world’s most famous cigarette brand. Ninety percent of its cigarette sales come from the Marlboro brand.
There is a trend toward smokeless tobacco products. Altria’s product line includes oral tobacco products. It owns the Copenhagen and Skoal brands.
In the most recent quarter, revenue fell 3% to $6.1 billion. However, earnings rose 5.2% to $1.41 per share. Billy Gifford, Altria’s chief executive officer, said, “We also continue to demonstrate our commitment to returning value to our shareholders. In August, we announced our 60th dividend increase in 56 years, and yesterday, our Board authorized an expansion of our share repurchase program.” Altria also raised its full-year guidance.
Some investors will not buy stock in a company that makes products that affect people’s health and can be deadly. Along with the cash flow, that may be why Altria has kept its dividend high and growing.
Altria Stock Price Prediction and Forecast 2026–2030
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