Altria Group Inc. (NYSE:MO), one of the world's largest producers and marketers of tobacco, cigarettes, and related products, has reached a new 52-week high, with its stock price climbing to $53.16. This peak reflects a significant uptrend for the company, which has seen an impressive 1-year change of 19.88% in its stock value. Investors attribute this surge to a combination of strategic business moves and market dynamics that have favored Altria's portfolio of established and emerging nicotine products. The company's performance, particularly in the context of regulatory challenges and public health debates surrounding the tobacco industry, underscores its resilience and adaptability in a complex market environment.
In other recent news, Altria Group, Inc. has been involved in a series of significant developments. The company has raised its quarterly dividend by 4.1%, moving from $0.98 to $1.02 per share. This increase is part of Altria's ongoing strategy to grow the dividend per share by mid-single digits annually through 2028.
Furthermore, Altria reported a stable adjusted diluted earnings per share (EPS) for the second quarter of 2024, despite a slight decline for the first half of the year. The company has adjusted its full-year 2024 guidance for adjusted diluted EPS to a range of $5.07 to $5.15. Stifel reaffirmed its Buy rating for Altria, citing the company's strong dividend payments, effective free cash flow generation, and steady EPS growth outlook as key factors.
On the legal front, Altria and its e-vapor subsidiary NJOY are challenging a U.S. International Trade Commission (ITC) Administrative Law Judge's preliminary decision that supports allegations by JUUL Labs, Inc. that NJOY infringed on its patents. NJOY, disagreeing with the judge's initial determination, intends to present its case to the full ITC. In response to this legal dispute, both parties are in mediation to seek a resolution.
These are the recent developments in Altria Group's business activities.
InvestingPro Insights
Altria Group Inc.'s (MO) recent climb to a new 52-week high is underscored by several key metrics and InvestingPro Tips that highlight the company's financial health and market position. With a robust market capitalization of $90.45 billion and a favorable P/E ratio of 9.15, Altria stands out in the market. The company's impressive gross profit margin, which reached 69.56% in the last twelve months as of Q2 2024, reflects its efficient operations and strong pricing power.
Investors considering Altria's stock may find the following InvestingPro Tips particularly compelling: the company boasts a perfect Piotroski Score of 9, indicating high financial health, and it has maintained dividend payments for 54 consecutive years, with a notable dividend yield of 7.7%. Additionally, Altria has been actively managing its share count, as evidenced by aggressive share buybacks. These actions, coupled with a consistent dividend growth of 8.51% over the last twelve months, signal a high shareholder yield.
For those interested in further analysis and insights, there are 15 additional InvestingPro Tips available, which can be accessed through Altria's page on InvestingPro. These tips provide a deeper dive into the company's financials, stock performance, and analyst predictions, offering valuable information for potential investors.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.