Altria Group, Inc. (MO) AI Stock Analysis

Altria Group, Inc., headquartered in Richmond, Virginia, manufactures and distributes smokeable and oral tobacco products across the United States. Its product portfolio features its flagship Marlboro cigarette brand, cigars and pipe tobacco under Black & Mild, and moist smokeless tobacco marketed under Copenhagen, Skoal, Red Seal, and Husky brands. The company also offers oral nicotine pouches through its on! brand to address evolving consumer preferences. Altria distributes its products primarily through wholesalers and large retail chains across the country to maintain widespread retail availability.

Altria's annual revenue decreased from $26.01B in FY2021 to $20.14B in FY2025, reflecting a 5-year CAGR of -5.1%. Despite the top-line decline, gross margin improved from 53.8% in FY2021 to 72.2% in FY2025, while operating margin expanded from 44.4% to 59.8%. Net income reached $6.95B in FY2025 with an EPS of $5.42, down from $11.26B in FY2024. For the latest quarter ended June 30, 2026, quarterly revenue increased 1.2% year-over-year, while quarterly earnings declined 2.7%. Trailing twelve months revenue stands at $20.44B with net profit margin of 39.0%.

As of June 30, 2026, Altria held $2.37B in cash and short-term investments against total debt of $24.58B, leaving net debt at $22.21B. The balance sheet exhibits negative shareholders' equity of -$2.67B and a current ratio of 0.44 against total assets of $33.37B. In FY2025, the company generated $9.29B in operating cash flow and allocated capital toward $216.0M in capital expenditures, $1.00B in share buybacks, and $6.96B in dividend payments. Its share count fell 8.7% over five years.

Altria trades at a trailing P/E of 15.8x and a forward P/E of 11.9x, compared to medians of 23.5x and 15.3x for its S&P 500 Consumer Defensive peers. Its EV to EBITDA ratio is 11.6x, below the peer group median of 14.8x, though its price-to-sales multiple of 6.1x sits above the peer median of 1.6x. Over the past year, Altria shares gained 24.8%, outpacing the S&P 500 return of 16.8%. Over a 5-year period, the stock returned 126.5% compared to 83.0% for the index.

Altria offers an annualized forward dividend of $4.44 per share, translating to a dividend yield of 5.91%. The company has paid dividends for 43 consecutive years and maintains a 5-year annualized dividend growth rate of 4.1%. The dividend is distributed quarterly with a payout ratio of 77.3%, and its most recent ex-dividend date was September 15, 2026.

Wall Street coverage includes 4 Strong Buy, 8 Hold, 1 Sell, and 1 Strong Sell recommendations. The mean price target is $70.00, representing a 6.8% decline from the last closing price of $75.11. For the current fiscal year ending December 31, 2026, consensus estimates project revenue of $20.56B and EPS of $5.68, reflecting 4.8% earnings growth. Over the last 4 quarters, Altria beat EPS estimates once. The next earnings date is October 29, 2026.

This page is an AI-written research summary of Altria Group, Inc. (MO). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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